Wavestone acquires Financial IT Consulting Firm Xceed Group
Wavestone has acquired Xceed Group, a nearly $19 million IT consulting firm focused on the financial services vertical. The company has roughly 60 employees, mainly in London though some are in New York.
More than 80 percent of Xceed’s revenue is derived from the financial services industry, with a focus on retail banks, insurance companies and financial data processors, Wavestone indicates.
Xceed’s five core areas of expertise are:
- Banking platform modernization
- IT infrastructure transformation
- Cards engagement platform
- Digital transformation
- Sourcing strategy
For its last fiscal year ended November 2017, Xceed Group recorded consolidated revenue of £13.3m (approximately €15.3m or about US$18.8 million), up 8 percent, and an adjusted EBITDA margin of over 20 percent, the companies say. The figures do not include the FIMS activity of Xceed Group (Flexible Infrastructure Managed Services), which is not part of the deal, the companies add.
Business Integration and Leadership Statements
Xceed Group CEO John Casserly and the other company shareholders will support the merger during a six- to 12-month transition phase. Xceed’s activity will continue to be driven by the current leadership team composed of five managers.
In a prepared statement, Reza Maghsoudnia, strategic development director of Wavestone, said:
“With this merger, Wavestone not only bolsters its footprint in London and New York, but also enhances its ability to address global programs. Xceed also enriches Wavestone’s client portfolio with complementary global accounts across the Finance Industry. We saw in our discussions that Xceed and Wavestone share identical values, which is a key success factor for our project.”
Added Xceed’s Casserly:
“Wavestone and Xceed together make a powerful combination and this is really good news for Xceed’s clients and staff. The two companies provide complementary services and share a common footprint in the Financial Services sector. Wavestone have an exciting growth plan and I am very pleased that the team at Wavestone recognizes the part that Xceed can play in that plan. I am really looking forward to seeing the expanded Wavestone succeed in the years to come.”
Overall, Wavestone has roughly 2,600 employees across four continents. The company claims to be one of European’s leading independent consulting firms, and the number one such company in France.