New Jersey-based Orion Innovation, backed by private equity firm One Equity Partners (OEP), has acquired Tellence Technologies, a technology services company headquartered in Bucharest, Romania. Financial terms of the deal were not disclosed.
This is M&A deal number 116 that ChannelE2E has covered so far in 2021. See all technology M&A deals for 2021 and 2020 listed here.
Private equity firm One Equity Partners is a familiar name in the IT services market. The firm also backs Computer Design & Integration (CDI) LLC, MCL Computer, Orion Innovation, and VASS Consultoria.
Orion Acquires Tellence: Digital Product Development Focus
Tellence, founded in 2012, develops digital technologies for companies in telecommunications and media, cybersecurity, and other industries, the seller says.
The deal strengthens Orion's European presence by establishing an R&D operation in Romania. The Bucharest site will host more than 300 engineers, primarily focusing on Digital Product Development services for several global clients, the buyer says.
Tellence employees will tuck into Orion's Digital Product Development team. Tellence CEO Efi Levinzon and GM Leo Radu will join Orion's management team. Radu will lead Orion's Romanian team as GM, and Levinzon will lead sales, partnerships, and client relations in Israel and other geographies, the buyer says.
Tellence overall team expands to 4,500 global associates "evenly distributed" across Europe, Asia Pacific, and the United States, the buyer says.
Orion Acquires Tellence: Executive Perspectives
In a prepared statement about the deal, Raj Patil, CEO of Orion, said:
"Tellence has a successful track record developing next-generation products for leading technology and telecommunications companies. They are at the forefront of the latest innovations. Adding Tellence's talented engineering team to Orion brings our clients another layer of deep engineering expertise and forward-thinking innovation. Expanding across Europe is a key step in our aggressive growth strategy towards building a global digital transformation platform. Our new clients will benefit from Orion's already strong product development expertise and broader digital transformation capabilities. I'm thrilled to welcome the Tellence team."
Added Tellence CEO Efi Levinzon:
"Joining Orion will give us the infrastructure to further expand into the U.S. and European markets and to access a global base of engineers to help our clients scale even faster. Our clients are expanding around the world and partnering with Orion gives us a growing set of product development and digital transformation capabilities to support their global business objectives."
Alex Bogachek, who leads Orion's Digital Product Development team globally, asserted:
"Tellence has a world class engineering team in Romania that will greatly benefit Orion's clients across the globe. Adding an R&D delivery center in Romania is a perfect complement to our existing digital product development teams in Europe, across Russia, Serbia, and Lithuania. We look forward to leveraging the great engineering talent in Romania for our clients."
Concluded Chip Schorr, senior managing director, One Equity Partners:
"The addition of Tellence's talented engineers and capabilities to Orion continues OEP's strategy of building Orion into the leading digital transformation firm in partnership with management to solve our customers' most complex problems. Orion has been able to augment its organic growth with a strategic acquisition program that has created a company with great vertical market depth and the broadest skill set in its industry."
Multiple firms advised on the M&A deal. Key influencers include:
- Perkins Coie, LLP acted as legal advisors and Cohn Reznick, LLP as financial and tax advisors to Orion.
- View Partners Capital LLC acted as the exclusive financial advisor for Tellence Technologies.