Hyderabad-based Cyient, an engineering services provider, plans to acquire Santa Clara, California-based Tao Digital Solutions, a digital engineering and cloud services company, in a US$218 million all-cash deal.

The move would expand its data, AI, and digital engineering capabilities, according to a regulatory filing.

Tao reported US$79.1 million in calendar 2025 revenue, up from US$50.3 million in 2024.

The deal covers 100% of Tao Digital, including group entities in Canada, India, Taiwan, Greece, Germany, the Czech Republic, Australia, and New Zealand.

It is expected to close by the second quarter of fiscal year 2027, subject to regulatory approvals and customary closing conditions.

The payment includes an upfront component and performance-linked earnouts.

Tao Digital offers product engineering, cloud, data, cybersecurity, payments, and digitisation services.

Cyient already offers data platforms and generative AI in its digital engineering business, suggesting the acquisition builds on an existing strategy.

In its deal announcement, Cyient said it generated US$658 million in fiscal year 2026 revenue.

🔗 Source: The Economic Times

Recent Cyient developments