Customer services provider Concentrix Corporation (CNXC) recently announced that it has agreed to sell its mobile network solutions business to Lumine Group. Lumine, a division of Volaris Group Inc., is one of the foremost acquirers of communications & media software businesses globally.
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The financial terms of the deal, which is likely to close within the next 30 days, have been kept under wraps.
Post the acquisition, the business will be marketed under Lumine’s newly created brand “NetEngage” and will enjoy full autonomy.
Executive Vice-President of Corporate Strategy at Concentrix, Philip Cassidy, said, “After exploring a divestiture option with Lumine and other alternatives, we decided that Lumine is by far the best home for the mobile solutions business. Lumine’s experience with corporate divestitures gave us speed and certainty of transaction close, and they were able to provide the appropriate focus and investments to ensure that customer and employee stakeholders are protected for the long-term” (See Concentrix stock chart on TipRanks).
The stock has a Moderate Buy consensus rating based on 1 Buy. Barrington analyst Vincent Colicchio recently reiterated a Buy rating on the stock with a price target of $182 (10.8% upside potential). Shares of the company have gained 105.3% over the past year.
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