Infosys to Acquire Product Design and Development firm, Kaleidoscope Innovation

Infosys Ltd on Thursday said it has entered a definitive agreement to acquire US-based product design and development firm, Kaleidoscope Innovation for up to US$ 42 million.

This acquisition will help the company combining cutting-edge technologies and experiences in patient care, treatment, diagnostics and consumer health across the world.

Infosys in a press release said, "This acquisition demonstrates Infosys' commitment to innovate for its clients, and make a meaningful impact on human lives by combining cutting-edge technologies and experiences to revolutionize patient care, treatment, diagnostics and consumer health across the world."

Infosys is a global leader in next-generation digital services and consulting. Kaleidoscope Innovation is a full-spectrum product design, development and insights firm innovating across medical, consumer and industrial markets, bolstering capabilities in the design of smart products.

Ravi Kumar, President, Infosys, said, "This acquisition further strengthens our digital offerings at the intersection of new software technologies and medical devices - a sector that is expected to witness significant investments and consumerization in the post-COVID era. Our clients will benefit from the combination of Kaleidoscope's strong upstream offerings of product innovation and design, and Infosys' stack of product engineering, validation and commercialisation services at a global scale. We are excited to welcome Kaleidoscope Innovation and its leadership team into the Infosys family, as part of the Infosys Engineering Services portfolio."

Kaleidoscope Innovation brings to Infosys a diverse talent pool with extensive knowledge of design and engineering. The company leverages a deep understanding of clinical environments, strong product development capabilities across domains, and a consultancy-style approach addressing human factors, product design, UI/UX design, research & insight, development and visualization.

It serves a marquee and diversified customer base with state of the art, in-house labs, 3D design environments and customer experience centres. Kaleidoscope designs microsurgical instruments, devices used in minimally invasive surgery, drug delivery devices for ophthalmic therapies and user-centric wearables. It also offers usability testing in support of regulatory submissions, including the delivery mechanism for aortic stents.

Matt Kornau, CEO & Co-Founder, Kaleidoscope Innovation said, "We are enthusiastic about our exciting new partnership with Infosys. It allows us to scale quickly and bring expanded offerings in AI, Analytics, and Digital Infrastructure to our clients. Kaleidoscope has always valued the ability to enhance people's lives and their outcomes through innovation. We feel Infosys shares these same values and will open new avenues for our client partners, and our staff, to pursue larger opportunities together. We will remain dedicated to serving as good partners to other companies, large and small, as we continue to meet our mission."

The acquisition is expected to close during the second quarter of fiscal 2021, subject to customary closing conditions