HCLTech to acquire France-based software provider Zeenea: Five things you need to know

"HCLSoftware will enhance its Data & Analytics business (Actian) through this acquisition. HCLSoftware Actian Data Platform has seen strong growth in Hybrid Data Management and Integration over the last few years. Adding metadata management, data catalog and governance capabilities will enable customers to consume these capabilities of the data platform," the company said in its press release. 

Zeenea provides an intelligent data discovery platform that supports metadata management applications from search and exploration to data catalog, lineage, governance, compliance, and enterprise data marketplaces, the press release added.

When will the acquisition be completed?

It is likely to be completed in September 2024.

What is the nature of the consideration?

It will be 100% cash consideration.

What is the cost of acquisition?

The total enterprise valuation of the acquisition is Euro 24 million.

Percentage of shareholding / control acquired

100% of the outstanding equity of the company is to be acquired by HCL Technologies UK Limited, a wholly-owned subsidiary of HCL Technologies Limited.

About Zeenea

Zeenea SA is a software company founded in 2017 and headquartered in France (Paris), with subsidiaries in Belgium and the USA.

How have Zeenea's financial revenues been?

Reported Revenues (Fiscal Year End: December 31):

• 2021 : EUR 1.0 million
• 2022 : EUR 1.8 million
• 2023 : EUR 2.6 million

HCLTech stock performance

Shares of the company have remained muted on a year-to-date basis. The stock has gained merely 5% as compared to a nearly 11% rise in the benchmark NIFTY50 index.

About HCLTech

HCLTech is a multinational information technology consulting company headquartered in Noida. It was founded by Shiv Nadar. The company was spun out in 1991 when HCL entered the software services business. Consolidated revenues as of the 12 months ending June 2024 totaled $13.4 billion, the company said.