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Tuesday, Sep 10
IBM selling customer care outsourcing business to Synnex for $505M
- IBM will receive $430M in cash and $75M in stock from Synnex (SNX), which will add the business to its Concentrix customer contact services unit. (PR)
- In tandem with the sale, Synnex is entering into a multi-year tech partnership with IBM, and Concentrix "will become an IBM strategic business partner for global customer care business process outsourcing services."
- IBM says it will continue investing in "strategic areas" of its Global Process Services portfolio. The Synnex deal is another example of Big Blue's efforts to pare its exposure to lower-margin services segments (even at the cost of top-line growth) to focus on higher-margin/value-added areas.
- SNX +9.4% AH, IBM nearly unchanged. Synnex asserts the deal will make Concentrix a top-10 global player in the customer case BPO space.