Lupin, Allcargo, Cyient, Sonata Software ink overseas M&A deals

 Lupin, Allcargo, Cyient, Sonata Software ink overseas M&A deals

Indian drugmaker Lupin, logistics company Allcargo and technology services companies Sonata Software and Cyient have struck separate deals to buy companies based in Australia, Europe and the US.

Lupin said its Australian unit Generic Health has agreed to acquire Melbourne-based Southern Cross Pharma Pty Ltd. Privately owned Southern Cross was established in 2000. It develops and distributes generic drugs.

Lupin didn’t disclose the deal value but said Generic Health will gain access to over 60 products with sales of over A$30 million (US$22 million). This will increase Lupin’s market share in Australia.

This acquisition is aligned with Lupin’s strategy to expand its presence in select markets of focus, managing director Nilesh Gupta said.


Allcargo Logistics Ltd said its subsidiary Allcargo Belgium NV, which operates the ECU Worldwide network, will pick up a 65% stake in Nordicon Group. Nordicon’s current owners will retain 35% of the company.

Allcargo will pay about SEK243.1 million ($28 million) for the 65% stake in ECU Worldwide (Nordicon) AB, which in turn will hold a 100% stake in Nordicon AS and Nordicon DK. These companies own nearly 40% market share in ocean freight consolidation in the Nordic region comprising Sweden, Norway, Finland and Denmark.

These companies had revenue of €38.6 million for 2020, up from €30.7 million in 2019 and €28.4 million in 2018.

Nordicon has a warehouse in Gothenburg, Sweden, and local terminals in each of the four Nordic countries.

The deals expands ECU Worldwide’s service network and global reach. It will increase its market share in the Nordic region’s less-than-container-load (LCL) business to 40%.

Sonata Software

Sonata Software has agreed to acquire Encore Software Services Inc., which provides cloud infrastructure and cloud application development services to clients in the healthcare, supply-chain and logistics industries.

Encore, incorporated in 1998, is headquartered in San Jose and has a development centre in Chennai that employs 300 people. The acquisition strengthens Sonata’s presence in the US and ramps up its capability in cloud transformation services and digital test automation services.

Sonata will make an upfront payment of $6.37 million, including adjustments for working capital, cash and net debt, to acquire the US company. It will also make a deferred payout of $8.25 million payable over three years.

In addition, Sonata will spend $1.2 million to acquire Encore’s India unit, Encore IT Services Solutions Pvt. Ltd.


Technology services company Cyient has agreed to acquire WorkForce Delta, an Australian consulting firm in mobile workforce management.

The acquisition will strengthen Cyient’s digital transformation offerings in the utilities and telecom industries. It will also bolster its IntelliCyient portfolio for digital mobile workforce management solutions.

Cyient will make an upfront payment of $2.7 million on a cash-free and debt-free basis to acquire Workforce Delta. It may also pay earn outs based on future performance.

WorkForce Delta, formed in 2015, employs 11 consultants. It posted revenue of $2.9 million for 2020-21, up from $1.5 million the previous two years.

Sumit Upadhyaya

The Capital Quest