Staff Reporters
Nov 11, 2020

Australia's RXP announces acquisition by Capgemini

The Australian arm of Paris-based Capgemini says its $70 million offer for the owner of The Works is part of its strong growth ambition in Asia.

Ross Fielding (left), Luc-Francois Salvador (top right), Damian Pincus, chief creative officer at RXP and founder of The Works.
Ross Fielding (left), Luc-Francois Salvador (top right), Damian Pincus, chief creative officer at RXP and founder of The Works.

Capgemini will acquire Australia's RXP Services, which employs more than 550 people and includes branding and customer-experience agency The Works, for A$95.5 million (US$69.6 million) in a proposed deal announced today.

RXP, which has offices in Melbourne, Sydney, Canberra and Hobart, had revenue of A$127 million ($92.6 million) in the fiscal year ended June 30. 

“The acquisition of RXP Services will make Capgemini a market leader in Australia in digital, data and cloud, enhancing our ability to provide our clients with value, scale and world-class expertise” said Luc-Francois Salvador, executive chairman of Capgemini in Asia Pacific and the Middle East. “This transaction will be a step change for Capgemini in Australia and illustrates Capgemini’s growth ambition in Asia Pacific."

Capgemini also said the acquisition adds platform and technology partnerships and a well-established team of specialist consultants across Microsoft, Salesforce and ServiceNow technologies. RXP's clients include Kraft Heinz, Aurora Energy, Toyota, the Victoria government and government entities in NSW. 

Taking control of The Works, which RXP acquired in 2017, will "open a new chapter in Capgemini’s local capabilities to enable, design and deliver end-to-end amazing and differentiated digital experiences", the company's release said.

RXP CEO Ross Fielding said Capgemini’s conviction that the value of technology comes from and through people is complementary to RXP's beliefs. “In addition to the natural fit, joining Capgemini would offer a larger scale and capability for our RXP Services teams to deliver end-to-end solutions that our clients need and want, with the option to expand them globally," he said.

Paris-based Capgemini, which employs 265,000 people globally, describes itself as a leaader in consulting, digital transformation, technology and engineering services. In addition to its ANZ locations (Sydney, Melbourne, Canberra, Brisbane, Perth, Auckland and Wellington), it has APAC offices in China, India, Japan, Philippines, Singapore and Vietnam.

The acquisition is expected to close early next year.

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