Falls Church-based Computer Sciences Corporation (CSC) (NYSE: CSC), said that it has purchased what is claimed to be the largest pure-play software testing and quality management service provider in the world.
Hyderabad, India-based AppLabs Technologies Private Limited and its 2,500 employees will become part of the CSC family. AppLabs was founded in 2001 and has international offices in London, Philadelphia, Pa. and Lindon, Utah. The company specializes in software application testing for Fortune 500 companies across several industries, cutting their development time to bring products to market.
“Application Services continue to play an increasingly important role as companies adopt new technologies and cloud based services to improve the quality and performance and reduce the total cost of ownership of IT services,” stated Michael W. Laphen, chairman, president and chief executive officer, CSC. “Acquiring AppLabs represents CSC’s continued commitment to our intense focus on growing the company’s applications development and management business as well as extending superior testing services to our clients and prospects.”
CSC notes a fast growing testing and validation market for the purchase which is estimated to grow 21% annually accord to research firm IDC. CSC expects the purchase to raise its status to a leadership level in application testing services.
UBS Investment Bank was utilized by AppLabs as the exclusive advisor for the transaction. Purchase price and agreements terms were not disclosed.