Teleperformance agrees to acquire Intelenet from Blackstone

Teleperformance (Paris:TEP), the worldwide provider of outsourced omnichannel customer experience management, has announced that it has entered into a definitive agreement to acquire Intelenet from Blackstone (NYSE: BX), a global alternative asset manager, the company said.

Intelenet is a major global provider of high-end omnichannel customer experience management, back-office, human resources and financial & administration services. The company has more than 110 blue chip clients worldwide, mostly in the English-speaking market, India and the Middle East.

Intelenet primarily serves the Banking, Financial Services and Insurance sector (BFSI), as well as the travel, transport & accommodation, e-commerce, e-services, and healthcare sectors.

The transaction will be completed for a total consideration (enterprise value) of USD 1.0 billion. The deal is expected to have a positive impact of around + 10% on Teleperformance´s earnings per share before amortization of goodwill in 2018 on a pro forma basis.

The net debt to EBITDA ratio on a pro forma basis should be below 2.5 at the end of 2018 and is expected to come down quickly. The acquisition will be fully financed through debt provided by BNP Paribas, J.P. Morgan and Natixis, which may be replaced in whole or in part by a bond issue, subject to market conditions.

Paul Hastings LLP and Linklaters LLP acted as legal advisors to Teleperformance on the acquisition and the financing, respectively, and Sullivan & Cromwell acted as tax advisor. J.P. Morgan acted as the exclusive financial advisor to Intelenet. Simpson Thacher & Bartlett LLP and Platinum Partners acted as legal advisors and Ernst & Young and KPMG acted as accounting and tax advisors, respectively, to Blackstone and Intelenet.

The transaction is expected to close by September 30, 2018, subject to receipt of certain regulatory approvals and other customary closing conditions.

Intelenet® Global Services is a global Business Process Solutions company, committed to service excellence. Intelenet is 55,000 people strong, with over 40 global delivery centers in 8 countries across Americas, Europe, Middle East, India and Philippines.

Blackstone is one of the world´s investment firms. Blackstone seeks to create positive economic impact and long-term value for its investors, the companies it invests in, and the communities in which it works. Blackstone´s asset management businesses, with USD 450 billion in assets under management, include investment vehicles focused on private equity, real estate, public debt and equity, non-investment grade credit, real assets and secondary funds. Blackstone established its office in India in August 2005, and has since invested ~USD 8.7 billion across private equity and real estate. Further information is available at www.blackstone.com.