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UST Acquires ISG Automation

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UST, a digital transformation solutions company, has acquired ISG Automation, the automation unit of Information Services Group (ISG), for $27 million in an all-cash transaction. This strategic move strengthens UST's position in the intelligent automation market and sets the stage for future growth. The acquired unit, founded in 2017, offers RPA software implementation, support, and licensing services with over 120 senior automation consultants across five countries.

The acquisition enhances UST's partner ecosystem in intelligent automation and expands its service offerings. It comes at a time when enterprises are seeking to scale and optimize automation across their operations. UST aims to leverage this acquisition to meet client needs, drive innovation, and optimize costs, particularly as the role of generative AI in enterprise automation grows.

UST, un'azienda di soluzioni per la trasformazione digitale, ha acquisito ISG Automation, l'unità di automazione del gruppo Information Services Group (ISG), per 27 milioni di dollari in una transazione completamente in contante. Questa mossa strategica rafforza la posizione di UST nel mercato dell'automazione intelligente e prepara il terreno per una futura crescita. L'unità acquisita, fondata nel 2017, offre servizi di implementazione di software RPA, supporto e licenze con oltre 120 consulenti senior di automazione in cinque paesi.

L'acquisizione migliora l'ecosistema di partner di UST nell'automazione intelligente ed espande la sua offerta di servizi. Arriva in un momento in cui le aziende stanno cercando di scalare e ottimizzare l'automazione in tutte le loro operazioni. UST mira a sfruttare questa acquisizione per soddisfare le esigenze dei clienti, promuovere l'innovazione e ottimizzare i costi, soprattutto con l'aumentare del ruolo dell'AI generativa nell'automazione aziendale.

UST, una empresa de soluciones para la transformación digital, ha adquirido ISG Automation, la unidad de automatización del grupo Information Services Group (ISG), por 27 millones de dólares en una transacción totalmente en efectivo. Este movimiento estratégico refuerza la posición de UST en el mercado de la automatización inteligente y establece las bases para el crecimiento futuro. La unidad adquirida, fundada en 2017, ofrece servicios de implementación de software RPA, soporte y licencias con más de 120 consultores senior en automatización en cinco países.

La adquisición mejora el ecosistema de socios de UST en automatización inteligente y amplía su oferta de servicios. Llega en un momento en que las empresas buscan escalar y optimizar la automatización en todas sus operaciones. UST tiene como objetivo aprovechar esta adquisición para satisfacer las necesidades de los clientes, impulsar la innovación y optimizar costos, especialmente a medida que crece el papel de la IA generativa en la automatización empresarial.

UST는 디지털 변환 솔루션 회사로, ISG 자동화를 인수했습니다. 이는 정보 서비스 그룹(ISG)의 자동화 부서로, 2천7백만 달러의 현금 거래로 이루어졌습니다. 이 전략적 움직임은 지능형 자동화 시장에서 UST의 입지를 강화하고 미래 성장의 기반을 마련합니다. 인수된 단위는 2017년에 설립되었으며, RPA 소프트웨어의 구현, 지원 및 라이선스 서비스를 제공하며, 5개국에서 120명의 고위 자동화 컨설턴트가 활동하고 있습니다.

이번 인수는 UST의 지능형 자동화 파트너 생태계를 강화하고 서비스 제공 범위를 확장합니다. 기업들이 운영 전반에 걸쳐 자동화를 확장하고 최적화하려는 시점에서 이루어졌습니다. UST는 고객의 요구를 충족하고 혁신을 추진하며 비용을 최적화하기 위해 이 인수를 활용하고자 하며, 특히 생성 AI의 기업 자동화에서의 역할이 증가하고 있습니다.

UST, une entreprise de solutions de transformation numérique, a acquis ISG Automation, l'unité d'automatisation d'Information Services Group (ISG), pour 27 millions de dollars dans le cadre d'une transaction entièrement en espèces. Ce mouvement stratégique renforce la position d'UST sur le marché de l'automatisation intelligente et prépare le terrain pour une future croissance. L'unité acquise, fondée en 2017, offre des services d'implémentation de logiciels RPA, de support et de licence avec plus de 120 consultants en automatisation senior dans cinq pays.

Cette acquisition améliore l'écosystème de partenaires d'UST en automatisation intelligente et élargit son offre de services. Elle survient à un moment où les entreprises cherchent à intensifier et à optimiser l'automatisation de leurs opérations. UST entend tirer parti de cette acquisition pour répondre aux besoins des clients, stimuler l'innovation et optimiser les coûts, surtout que le rôle de l'IA générative dans l'automatisation des entreprises croît.

UST, ein Unternehmen für digitale Transformationslösungen, hat ISG Automation, die Automatisierungseinheit der Information Services Group (ISG), für 27 Millionen Dollar in einer Komplettbarzahlung übernommen. Dieser strategische Schritt stärkt USTs Position im Markt für intelligente Automatisierung und legt den Grundstein für zukünftiges Wachstum. Die im Jahr 2017 gegründete Einheit bietet RPA-Softwareimplementierung, Support und Lizenzierungsdienste mit über 120 erfahrenen Automatisierungsberatern in fünf Ländern an.

Die Übernahme verbessert USTs Partnerökosystem in der intelligenten Automatisierung und erweitert das Dienstleistungsangebot. Sie erfolgt zu einem Zeitpunkt, an dem Unternehmen versuchen, die Automatisierung in ihren Abläufen zu skalieren und zu optimieren. UST beabsichtigt, diese Übernahme zu nutzen, um den Bedürfnissen der Kunden gerecht zu werden, Innovation voranzutreiben und Kosten zu optimieren, insbesondere da die Rolle der generativen KI in der Unternehmensautomatisierung wächst.

Positive
  • Acquisition strengthens UST's position in the intelligent automation market
  • Adds over 120 senior automation consultants and technologists to UST's team
  • Expands UST's partner ecosystem with leading automation vendors
  • Enhances UST's ability to deliver a broader set of services to clients
  • Positions UST for growth in a dynamic market with increasing demand
Negative
  • Cash outflow of $27 million for the acquisition

Insights

The acquisition of ISG Automation by UST for $27 million in cash is a strategic move that could significantly impact UST's market position in the intelligent automation sector. This deal brings several key benefits:

  • Expanded expertise with over 120 senior automation consultants and technologists
  • Enhanced global presence across the US, UK, India, Canada and Germany
  • Strengthened partnerships with leading automation vendors like Automation Anywhere, UiPath and Blue Prism
  • Broader service offerings, including end-to-end automation solutions

For ISG (Nasdaq: III), this divestiture allows them to focus on their core technology research and advisory business. The $27 million cash infusion could potentially be used for debt reduction, reinvestment, or returned to shareholders.

From an investor perspective, this acquisition positions UST to capitalize on the growing demand for enterprise automation and AI-driven solutions. The integration of ISG Automation's capabilities with UST's existing SmartOps platform could lead to increased market share and revenue growth in the rapidly evolving intelligent automation market.

This acquisition significantly bolsters UST's capabilities in the intelligent automation space, which is important as enterprises increasingly seek to scale and optimize automation across their operations. Key technological implications include:

  • Enhanced ability to implement and support leading RPA platforms
  • Expanded capacity to deliver AI-driven automation solutions
  • Potential for innovation in generative AI applications for enterprise automation
  • Improved capabilities in business process automation (BPaaS) and cost optimization

The integration of ISG Automation's expertise with UST's existing platforms could accelerate the development of more sophisticated automation solutions. This is particularly important as the role of generative AI in enterprise automation grows, potentially leading to more efficient and intelligent automated processes.

For the tech industry, this move signals the increasing importance of comprehensive automation capabilities in digital transformation services. It also highlights the trend of consolidation in the automation market as larger players seek to build end-to-end offerings.

Strategic move strengthens UST's presence in the dynamic intelligent automation market while laying the foundation for further growth amidst new demand

ALISO VIEJO, Calif., Oct. 2, 2024 /PRNewswire/ -- UST, a leading digital transformation solutions company, has acquired the automation unit of Information Services Group (ISG), strengthening its position in the intelligent automation space and positioning the company for future growth in a dynamic market. The acquired unit is a leading provider of intelligent automation solutions, utilizing artificial intelligence (AI), robotic process automation (RPA), and automation technologies to help clients across a range of industries optimize their business processes, enhance the customer experience, and reduce operational costs.

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Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm, said it has sold its automation unit to UST for $27 million in an all-cash transaction. Initially founded in 2017, the unit offers RPA software implementation, support, and licensing services. The unit has over 120 senior automation consultants and technologists across US, UK, India, Canada, and Germany. As a long-standing leader in the market, the acquired unit boasts strong partnerships with leading automation vendors such as Automation Anywhere, UiPath, and Blue Prism, and offers end-to-end services ranging from strategy and design to implementation and support. Furthermore, the acquisition will strengthen UST's partner ecosystem in the intelligent automation space and allow the company to deliver a broader set of services to its clients.

This significant investment strengthening UST's position in a critical sector that has the potential to transform industries, enhance productivity, improve customer experiences, and further build on diverse revenue streams. The move comes at a time when enterprises are seeking to scale and optimize automation across the enterprise and leverage these benefits for broader business transformation.

As the role of generative AI in enterprise automation expands, the acquisition will allow UST to continue meeting client needs while driving innovation and cost optimization. As part of the agreement, UST will onboard highly experienced intelligent automation consultants globally.

"Building on the success of the UST SmartOps platform as well as our current services and partnerships, this strategic acquisition represents a significant step forward for the UST Automation team, enabling greater intelligent automation consulting capabilities and allowing us to broaden our partner ecosystem. The move strengthens our ability to deliver a larger set of services to our clients, including business transformation, automation-powered BPaaS and cost take out capabilities. As the intelligent automation space continues to grow, UST is committed to expanding its portfolio of automation platforms, accelerators and AI-based solutions to meet the constantly evolving needs of clients and partners," said Sajesh Gopinath, General Manager, UST Automation.

"Our former automation unit will benefit from being part of a larger technology services organization, UST, a company that we have known and respected for years – and one that has the resources and scale to compete in the intelligent process automation space," said Michael P. Connors, Chairman and Chief Executive Officer, ISG.

About ISG
ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm. A trusted business partner to more than 900 clients, including more than 75 of the world's top 100 enterprises, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services, including AI, cloud and data analytics; sourcing advisory; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in Stamford, Conn., ISG employs more than 1,600 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry's most comprehensive marketplace data. For more information, visit www.isg-one.com.

Media Contacts, ISG:
Will Thoretz, ISG
+1 203 517 3119
will.thoretz@isg-one.com

About UST
Since 1999, UST has worked side by side with the world's best companies to make a powerful impact through transformation. Powered by technology, inspired by people, and led by our purpose, we partner with our clients from design to operation. Our digital solutions, proprietary platforms, engineering expertise, and innovation ecosystem turn core challenges into impactful, disruptive solutions. With deep industry knowledge and a future-ready mindset, we infuse innovation and agility into our clients' organizations—delivering measurable value and positive lasting change for them, their customers, and communities around the world. Together, with 30,000+ employees in 30+ countries, we build for boundless impact—touching billions of lives in the process. Visit us at www.UST.com.

Media Contacts, UST:
Tinu Cherian Abraham
+1 (949) 415-9857

 Merrick Laravea
+1 (949) 416-6212

Neha Misri
+44-7341787926

Roshini Das K
+91-7736795557
media.relations@ust.com

Media Contacts, India:
Adfactors PR
ust@adfactorspr.com 

Media Contacts, U.S.:
S&C PR
+1-646.941.9139
media@scprgroup.com

Makovsky
ust@makovsky.com

Media Contacts, U.K.:
FTI Consulting
UST@fticonsulting.com

Logo: https://mma.prnewswire.com/media/1422658/UST_Logo.jpg  

Cision View original content:https://www.prnewswire.com/news-releases/ust-acquires-isg-automation-302265958.html

SOURCE UST

FAQ

What company did UST acquire and for how much?

UST acquired ISG Automation, the automation unit of Information Services Group (ISG), for $27 million in an all-cash transaction.

How many consultants does the acquired ISG Automation unit have?

The acquired ISG Automation unit has over 120 senior automation consultants and technologists across the US, UK, India, Canada, and Germany.

What services does the acquired ISG Automation unit offer?

The acquired unit offers RPA software implementation, support, and licensing services, with end-to-end services ranging from strategy and design to implementation and support.

How will this acquisition benefit UST?

The acquisition strengthens UST's position in the intelligent automation market, expands its partner ecosystem, enhances its service offerings, and positions the company for growth in a dynamic market with increasing demand for automation solutions.

What is the stock symbol for Information Services Group (ISG)?

The stock symbol for Information Services Group (ISG) is III, listed on Nasdaq.

Information Services Group, Inc.

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