Managed Security Services

Capgemini Set to Acquire Exiger’s Financial Crime Compliance Division

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As it seeks to augment its capabilities in financial crime, risk management, and regulatory compliance services, Capgemini has announced the impending acquisition of the Financial Crime Compliance (FCC) division of Exiger. The transaction is anticipated to be finalized in the upcoming months, the company said. Financial terms were not disclosed.

This is technology M&A deal number 250 that ChannelE2E and MSSP Alert have covered so far in 2023. See more than 2,000 technology M&A deals for 2023, 2022, 2021, and 2020 listed here.

Capgemini is based in Paris, France. The company has 297,859 employees listed on LinkedIn. Capgemini’s areas of expertise include Outsourcing, Process Consulting, Package Based Solutions, Custom Solution Development, Application Management, Business Information Management, Artificial Intelligence, Business Consulting, Cloud, Digital, and Managed Services.

Exiger is based in New York City. The company has 817 employees listed on LinkedIn. Exiger’s areas of expertise include Regulatory Strategy & Advice, Compliance Governance & Controls, Regulatory Compliance, Financial Crime Compliance, Due Diligence & Remediations, Investigations, Monitorships, Technology, Analytics , Cognitive Computing , Artificial Intelligence, SupplyChainRiskManagement, and SaaS.

Exiger's FCC division, established in 2013, boasts a specialized team stationed across North America, EMEA, and APAC. This team’s expertise lies in advisory, analytics, and managed services targeting areas such as anti-money laundering, Know Your Customer (KYC), anti-bribery & corruption, and fraud, among others. 

The client base of the FCC division aligns well with that of Capgemini, encompassing key players in banking, fintech, and capital markets, the company said.

Benefits for the Financial Services Industry

The synergy between the FCC division's domain capabilities and its advisory board of former regulators, combined with Capgemini’s expansive alliance network, is poised to offer a comprehensive ecosystem, according to Capgemini.

 This integration aims to propel advisory-led transformations in financial crime compliance, marking it as a top priority in the current financial services landscape.

Capgemini Acquisition: Additional Insight

Kartik Ramakrishnan, Deputy CEO of Capgemini’s Financial Services and member of the Group Executive Committee, commented:

“As financial crime compliance requirements evolve, many banks are struggling to keep pace with changing regulations and cost of compliance. This acquisition offers Capgemini the expertise to further cater to the increasing client demand. Their capabilities align with Capgemini’s market vision of driving transformation in collaboration with CxOs. I am delighted to welcome them to the team.”

Samar Pratt, President of the FCC Division of Exiger, stated:

“In an industry where compliance processes are still largely manual, improving the end-client experience remains a challenge. With rising compliance costs and evolving regulations, the financial system only halts a small portion of illicit financial flows. The financial services sector is ready to embrace solutions driven by expert data and technology for comprehensive FCC transformation. Capgemini's strategic services, vast scale, partner ecosystem, and financial expertise presented an appealing opportunity for our global team and our clients. We find many shared values between our teams and feel that our cultures are in harmony. We are excited to be part of the Group.”

Capgemini’s M&A Activity

Capgemini has remained active in the M&A market, acquiring IT consulting firms, MSPs and MSSPs worldwide. Many of the deals involve Salesforce CRM and Mulesoft, SAP, ServiceNow and Microsoft Dynamics 365 expertise. Some recent Capgemini acquisitions include:

  • October 2022: Quantmetry, a data modeling and AI technology consulting firm
  • October 2022: Braincourt, a specialist in business intelligence and data science services and Quorsus, a UK-based financial services consultancy.
  • September 2022: Aodigy Asia Pacific of Singapore and Knowledge Expert of Geneva for Salesforce cloud consulting and Pega low-code application development expertise.
  • June 2022: Rufus Leonard, a London, UK-based brand design and experience agency.
  • May 2022: Chappuis Halder & Cie, a global strategy and management consulting firm specializing in financial services.