The merger of WNS with Capgemini is moving steadily towards closure, with the final steps expected in the coming weeks, WNS chief executive Keshav Murugesh told FE.
Seamless transition and overwhelming approval
The deal should conclude by the end of October, marking a key transition for the business process management firm.“We have got most of our approvals in place and in fact (it is) very exciting that we’ve got overwhelming approval from all our shareholders. We have now got all our antitrust approvals from all the countries,” Murugesh said. He added that the companies are now awaiting the last of the pending clearances which he anticipates will happen around mid-October.
“By the end of October, the transaction would have been completed and all shareholders also being paid out after which it (WNS) will become fully owned subsidiary of Capgemini,” Murugesh said. Until then, WNS and Capgemini will operate as two separate companies and the integration efforts will only start after the deal closure.On the workforce front, Murugesh said there was no expectation of major layoffs tied to the merger. “I don’t see any reason why we should.”While he acknowledged that duplication on account of synergies will eventually need to be addressed, he also stressed that the overall direction was towards expansion rather than job cuts.
“Quite often the intention of both companies is that no one is displaced. But there will always be a situation where in certain functions, you will have duality,” Murugesh said, reiterating that as long as the company continues to grow, the combined entity will see workforce expansion over time.
Focus on growth, not layoffs
He pointed out that WNS has consistently added to its workforce even during challenging periods. “We have kept growing as a company with a double digit CAGR over the past four or five years. We’ve also grown headcount during this entire period, including the Covid period,” Murugesh said.WNS employs around 64,000 professionals, a majority of who, he emphasised come with domain expertise, which will add value to the combined entity once the merger is complete. In the meantime, the firm continues to help its workforce reskill and upskill to cope with the changing dynamics of the tech industry.
On the firm’s new facility in Thane, he said the 250,000 square feet office, which can house up to 6,000 employees, is part of WNS’ strategy to consolidate its workforce in Mumbai, while moving to a larger premises, he said. “We had started about a year and a half ago as a result of our need to have new infrastructure, to make sure that our people are comfortable and also in a location of tomorrow where the talent really comes from,” he added.