In what will be its biggest acquisition, software services company Wipro Ltd said Thursday it is going to buy privately-held British consultancy firm Capco for $1.45 billion. The Azim Premji-promoted firm said the acquisition would catapult it to one of the largest end-to-end global consulting, technology and transformation service providers to the banking and financial services industry.

The Capco buy should see Wipro gaining access to 30 new large BFSI clients. Wipro CEO and MD Thierry Delaporte told analysts financial institutions were investing in technology more than ever. “They are looking to connect with clients, improve employee experience and to create new revenue channels. So you have to play at different levels. You need to think about strategies, transformations with CXOs and execute them to make them win. So this acquisition is strategic and comes at the right time,” he added.

London-based Capco serves financial institutions across the Americas, Europe and Asia-Pacific regions. Lance Levy, CEO, Capco observed the market is stronger partly due to Covid-19. “Financial institutions have been putting technology to use faster than ever and we expect the demand to continue for some time. More clients are asking for a single services provider,” he said.

At the end of December 2020, Wipro had Rs 45,234 crore of cash on its books. Delaporte said that Capco’s expertise would enable developing capabilities and technologies. “Scale matters and the ability to address multiple stakeholders is critical,” he added.

DD Mishra, senior director analyst, Gartner, said the deal supports Wipro’s consulting organisations. “As the total number of deals coming from traditional RFP routes are falling, IT service providers need to engage early with customers across various verticals to support their journey.”