Persistent Systems Ltd (PSYS IN): Hold: Aggressive move to acquire Nagarro

Research evidence excerpt

Persistent Systems Ltd (PSYS IN): Hold: Aggressive move to acquire Nagarro

Equities ● IT Services

29 June 2026

◆ Prior to the announcement of the acquisition by Persistent, Naggaro’s management laid out

the following as the key growth drivers for its business:

 Digital transformation & Agentic AI: Nagarro is designated as an OpenAI services

partner, which the company believes is a significant milestone in its AI journey and

positions it well to accelerate enterprise AI adoption. Persistent has a similar

partnership with Anthropic.

 Nagarro planned to expand its business in the Middle East, Asia Pacific and

North America.

Nagarro planned to expand its footprint in UAS and also establish dedicated Centers of

Excellence in Saudi Arabia and Qatar. The company was positioning itself to capture

high-value sovereign cloud and government digitisation contracts that require deep

onsite expertise.

Nagarro has a strategic alliance with Marubeni which provides it an entry into Japanese

manufacturing and financial sectors. Furthermore, the company was banking on the

modernisation of the public sector in Australia and Singapore.

In North America, the company planned to expand business with mid-market companies

and with government/enterprise clients in retail, CPG, Fintech and Healthcare.

 In Auto, Manufacturing and Industrial, Nagarro is focusing on Software Defined

Vehicles and sustainable manufacturing.

 Public sector – Nagarro sees a significant opportunity for high-governance digital

services and the company is hopeful of capturing demand for sovereign cloud

migrations and digital citizen identity platforms.

 Financial Services & Insurance – Nagarro sees an opportunity in core banking

modernisation and agentic solutions in RegTech.