IT outsourcing advisor ISG acquires competitor Alsbridge

Global outsourcing consultancy Information Services Group (ISG) has acquired Alsbridge Holdings, a US-based sourcing, automation and transformation advisory firm. The deal marks the biggest M&A announcement in the IT services advisory industry since KPMG bought EquaTerra in 2011. The two large independent outsourcing advisors are joining forces to create a 1,300-person firm with offices in 20 countries revenues targeted at between USD285m and USD300m next year. In a press released posted on its website, ISG said the acquisition will allow it to serve more than 700 blue-chip clients, including 75 of the 100 largest enterprises in the world. The deal comprises USD56m in cash, USD11m in ISG stock, and a USD7m seller’s note. According to Michael P. Connors, chairman and chief executive officer of ISG, the acquisition is an important step in the firm’s strategic plan to build an even stronger and more successful premium research and advisory firm.