Nasdaq-listed Pegasystems is acquiring text mining and analytics software startup MeshLabs to bolster its social media solutions to clients.
Billionaire tech entrepreneur and former chess champion Alan Trefler led software company Pegasystems will integrate MeshLabs’s text analytics software to gather unstructured social media data and decode it into actionable business insights for its clients.
MeshLabs — incubated at IIM Bangalore in 2009 — counts Wipro, Genpact and Ogilvy as its clients. The co-founders Venkatesh Rao, Sampath Herga, Arijit Mitra Shantanu Gudihal and rest of the team will join Pega post acquisition.
Cambridge, Massachusetts-based Pegasystems formally announced late Tuesday night India time. The financial details of the transaction were not disclosed. Gravitas Advisory was investment banker to the transaction.
“With MeshLabs technology, our customers will be able to monitor social media streams, as well as other channels and data sources, and immediately apply analytics and automate cases in response, delivering a real-time, personalised customer experience,”Alan Trefler, founder and CEO of Pegasystems said.
“Our venture was a classic bootstrapped venture with just eight employees and 16 clients. We decided to make Pegasystems our home, but the it has been a tremendous learning experience till now,” MeshLabs CEO Venkatesh Rao said.
Indian IT majors are scaling up their social media, mobility, analytics, and cloud (SMAC) play as it becomes $6-8 billion opportunity for the country’s $118 billion IT -ITeS sector as they are betting big on non-linear growth delinking themselves from headcount-linked growth. As clients are increasingly looking at expanding their digital footprint, Indian IT firms are gunning for IP-led partnerships or buyouts to move into the next growth orbit.
More recently, the country’s fifth largest IT services firm Tech Mahindra bought 75% stake in US-based data analytics startup FixStream Network for Rs 60 crore.
Last year, Wipro invested $5 million in US-based Axeda Corporation, which offers cloud based service and software for managing connected products. The third-largest IT firm picked up an additional 6% stake in New Jersey-based Opera Solutions doubling its stake to 12.5% in the big data and predictive analytics firm.
Source: Times of India