Sitel Group® Enters Into Agreement to Acquire Sykes Enterprises, Incorporated, to Enhance Offerings and Provide More Competitive Customer Experience Solutions for a Global Market
The All-Cash Transaction Approved by Both Organisation’s Board of Directors Is Expected to Complete in the Second Half 2021, Creating Greater Growth, Strong Client Relationships and Considerable Opportunities for Employees Worldwide
MIAMI — June 18, 2021 — Sitel Group®, a leading global provider of customer experience (CX) products and solutions, today announced it has entered into a definitive agreement to acquire Sykes Enterprises, Incorporated (“SYKES”) (NASDAQ: SYKE), a leading full life cycle provider of global customer experience management services, multichannel demand generation and digital transformation. Under the terms of the agreement, a subsidiary of Sitel Group will acquire all outstanding shares of SYKES common stock in an all-cash transaction valued at approximately $2.2 billion.
Sitel Group is active in the global customer experience sector, offering a wide range of products and solutions for its more than 400 customers. The acquisition of SYKES makes the combined company poised for sustainable growth, as one of the leading BPO players with a comprehensive range of CX products and solutions, leveraging EXP+™, the Enterprise Experience Platform from Sitel Group.
Following the proposed transaction, the combined company will employ 155,000 employees across global offices in 39 countries, serving 600+ clients in over 50 languages. With the combined company’s increased capacity, it is expected to reach a revenue greater than $4 billion in 2021; this growth will be a significant asset to offer Sitel Group clients a diversified delivery mix, as the expanded geographic footprint will provide more variety for their onshore, nearshore and offshore needs.
“We are committed to our people and the legacy of Sitel Group in the business landscape; by joining forces with such a healthy, profitable and financially solid U.S. brand that also has a stellar reputation, we will further enhance our global reach,” said Laurent Uberti, President, Chief Executive Officer & Co-Founder of Sitel Group.
Olivier Camino, Global Chief Operating Officer & Co-Founder of Sitel Group said, “Post-pandemic, the forces of digital disruption and dynamism are accelerating. A new world is emerging with the rise of the work at home model, and the need for valuable emotional connections and conversations between brands and their consumers has never been so important. With our expanded geographic footprint and greater capacity to serve customers, we will be better equipped to help our customers navigate the rapid changes within the industry. This acquisition is a fantastic opportunity for Sitel Group to enhance and accelerate our CX products and solutions within EXP+™, especially with the addition of SYKES’ CX solutions in digital, social media and robotic process automation (RPA), through their suite of digital transformation capabilities such as Clearlink and Symphony.”
Uberti added, “We began this journey more than 25 years ago, and our entrepreneurial mindset guides us today in driving innovation to enhance the CX journey for our customers and preparing for tomorrow, so we can build the future with confidence as a leading global player. Further, we are passionate about elevating the employee experience, along with our talented people around the world and people-centric values. We are excited about our future and continuing our story with best-in-class CX delivery for our customers and a greater employee experience for our combined 155,000 employees. We have tremendous respect for Chuck Sykes and the business he and his family have built.”
“This combination marks a major milestone in our more than 40-year operating history,” said President & Chief Executive Officer of SYKES, Chuck Sykes. “As we embark on the next phase of our journey, there is an opportunity to take the business to historic heights with a proven partner. I am confident that we have a valuable partner with a solid heritage of deep industry knowledge and experience, credible industry reputation, shared vision and an employee-first culture to further advance our leadership position as a leading global provider in a highly fragmented customer experience marketplace.”
The transaction is not subject to a financing condition and is expected to be completed in the second half of 2021, subject to the approval of SYKES’ shareholders and customary closing conditions, including expiration or termination of the applicable waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 and other regulatory clearances. Upon the closing of the transaction, SYKES will become a privately-held company and its shares will cease trading on Nasdaq.
Lazard Freres SAS acted as financial advisor, and Freshfields Bruckhaus Deringer US LLP acted as legal advisor to Sitel Group. Committed debt financing has been provided by BNP Paribas to Sitel Group. Goldman Sachs & Co. LLC acted as financial advisor, and Shumaker, Loop & Kendrick, LLP acted as legal advisor to Sykes Enterprises.
About Sitel Group®
As a leading global provider of customer experience (CX) products and solutions, Sitel Group® empowers brands to build stronger relationships with their customers by creating meaningful connections that boost brand value. Inspired by each brands’ unique vision and goals, we ask “what if?” applying our expertise to create innovative solutions that reduce customer effort.
With 100,000 people around the globe – working from home or from one of our CX hubs – we securely connect best-loved brands with their customers over 4.5 million times every day in 50+ languages. Whether digital or voice-based, our solutions deliver a competitive edge across all customer touchpoints. Our award-winning culture is built on 35+ years of industry-leading experience and commitment to improving the employee experience.
EXP+™ from Sitel Group is a flexible solution with complete cloud capability, designed to simplify the delivery of end-to-end CX services, while boosting efficiency, effectiveness and customer satisfaction. EXP+ creates a robust ecosystem by harnessing the power of four connected product families: Empower, Engage, Explore and Evolve.
The primary partner shareholder of Sitel Group is Creadev, the entrepreneurial investment arm of the Mulliez family.
About Sykes Enterprises, Incorporated
Sykes Enterprises, Incorporated and consolidated subsidiaries (“SYKES” or the “Company”) is a leading full lifecycle provider of global customer experience management services, multichannel demand generation and digital transformation. SYKES provides differentiated full lifecycle customer experience management solutions and services primarily to Global 2000 companies and their end customers principally in the financial services, technology, communications, transportation & leisure and healthcare industries. The Company’s differentiated full lifecycle services platform effectively engages customers at every touchpoint within the customer journey, including digital media and acquisition, sales expertise, customer service, technical support and retention, many of which can be optimized through a suite of digital transformation capabilities under its SYKES Digital Services (“SDS”) group, which spans robotic process automation (“RPA”), self-service, insight analytics and digital learning. In addition to digital transformation, SYKES also provides artificial intelligence (“AI”) solutions that can be embedded and leveraged across its lifecycle offerings. The Company serves its clients through two geographic operating regions: the Americas (United States, Canada, Latin America, Australia and the Asia Pacific Rim) and EMEA (Europe, the Middle East and Africa). The Company’s Americas and EMEA regions primarily provide customer management solutions and services with an emphasis on inbound multi channel demand generation, customer service and technical support to its clients’ customers. These services are delivered through multiple communication channels including phone, e-mail, social media, text messaging, chat and digital self-service. The Company also provides various enterprise support services in the United States that include services for its clients’ internal support operations, from technical staffing services to outsourced corporate help desk services. In Europe, the Company also provides fulfillment services, which include order processing, payment processing, inventory control, product delivery and product returns handling. Additionally, through the Company’s acquisition of RPA provider Symphony Ventures Ltd (“Symphony”) coupled with its investment in AI through XSell Technologies, Inc. (“XSell”), the Company also provides a suite of digital transformation capabilities that optimizes its differentiated full lifecycle management services platform. The Company’s complete service offering helps its clients acquire, retain and increase the lifetime value of their customer relationships. The Company has developed an extensive global reach with customer experience management centers across six continents, including North America, South America, Europe, Asia, Australia and Africa. The Company delivers cost-effective solutions that generate demand, enhance the customer service experience, promote stronger brand loyalty, and bring about high levels of performance and profitability. For additional information please visit www.sykes.com.
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