The United States-listed communications platform as a service (CPaaS) platform Kaleyra will be purchased by India-based Tata Communications, an enabler of the digital ecosystem, for about $100 million.
The acquisition of Kaleyra by Tata Communications, according to a statement from the company, will enable multinational corporations to provide their customers with personalized experiences.
Offering targeted personalization through messaging, video, push notifications, email, voice-based services, and chatbots, Kaleyra is a global provider of omnichannel integrated communication services.
Tata Communications will acquire an established platform with strong capabilities and scale through this transaction.
In addition to a strong team with knowledge of technology, engineering, and research and development, Kaleyra brings a stronghold in the business communications market in the banking and financial services, retail, and digital commerce industries across global markets.
The connections to Tier 1 carriers in the US, ready connectors to third-party platforms, and video services without the need for additional software plugins will all be advantageous to Tata Communications.
The new venture will take advantage of Tata Communications’ extensive network of mobile network operators (MNOs), which includes 300 of the Fortune 500 companies, and global expansion opportunities.
It will gain from the global digital ecosystem enabler that drives the more than 190 countries and territories’ rapidly expanding digital economies today.
In accordance with the terms of the contract, Tata Communications has agreed to buy Kaleyra, Inc. for $7.25 per share in cash and to take on all outstanding debt.
Kaleyra will join Tata Communications as a subsidiary following the transaction’s completion, which is anticipated in six to nine months.
Kaleyra reported revenue of $339.2 million for the full year that ended on December 31, 2022, an increase of 26.7 percent from the full year 2021.
“With this investment in Kaleyra, we will accelerate our push into the customer interactions platform market and fortify our global CommTech position,” said A.S. Lakshminarayanan, Managing Director and Chief Executive Officer, Tata Communications.
“We are excited about Kaleyra’s remarkable talent and their demonstrated capabilities in next-gen technologies,
“With this acquisition, we will further build intelligent, intuitive, and innovative multi-channel communication solutions to unlock new growth opportunities for our customers,” he added.