Telus International has announced its acquisition of WillowTree, a full-service digital product provider for or US $1.225 billion.
The sum is inclusive of US $210 million of assumed debt, of which US $125 million will be settled in TELUS International subordinate voting shares, approximately US $160 million will be reinvested by certain eligible management team members and settled subject to certain performance-based criteria, and the remainder will be paid in cash upon closing.
Telus International says as part of the transaction, majority stakeholder Insignia Capital Group will sell its stake in WillowTree after initially investing in the company in 2018.
Headquartered in Charlottesville, Va., WillowTree operates in the United States, Canada, Brazil, Portugal, Spain, Poland and Romania, and works with clients such as CBC, PepsiCo, Anheuser-Busch InBev, Manulife and Marriott.
Telus International says WillowTree will help it expand its global footprint to Brazil and Portugal, and support product development across its business, particularly within health and agriculture and consumer goods.
The deal is expected to close in January 2023, and is subject to customary closing conditions and regulatory approvals.