NEC Corporation has agreed to acquire US-based software-as-a-service (SaaS) provider CSG Systems International in a deal valued at around US$2.9 billion, including debt, as the Japanese technology company looks to expand its offerings to telecom operators and industries such as healthcare, financial services, and logistics.
In a statement, NEC said the acquisition will strengthen its position as a “leader in next-generation digital solutions” and accelerate AI- and cloud-driven innovation across multiple sectors.
The deal represents a 17% premium over CSG’s closing share price on October 28. The boards of both companies have unanimously approved the agreement, which is expected to close next year pending regulatory and shareholder approval.
CSG provides billing, payments, and customer engagement systems for major clients including MTN, Telenor, Zain, and Formula 1. NEC said CSG’s SaaS portfolio and established customer base will enhance its own digital services and complement its Netcracker subsidiary, which already delivers business and operations support systems (BSS/OSS) to telecom operators worldwide.
NEC added that integrating CSG’s capabilities will allow it to deliver greater value to enterprise and telecom customers as it continues to expand its global digital solutions business.
