Coforge’s $2.35 billion acquisition of Encora marks a decisive move to scale AI-native engineering, cloud, and data capabilities and reposition itself as a leading AI-driven technology services firm.
Coforge has announced a landmark agreement to acquire Encora, an AI-native engineering firm born in Silicon Valley, in a move that significantly accelerates its ambition to become a leading AI-driven engineering services company for the next era of enterprise technology. The transaction, subject to customary approvals, brings together Coforge’s execution strength with Encora’s deep capabilities across AI-led engineering, Cloud, and Data.
Encora operates at the intersection of AI, Cloud, and Data, serving Fortune 1000 and digital-native companies with offerings spanning agent-native product engineering, core modernization, AI foundations, data readiness, and AIOps. Its proprietary composable agentic AI platform, AIVA™, and strong partnerships with hyperscalers such as AWS, Microsoft, Google, and Snowflake add significant depth to the combined portfolio.
Post-acquisition, the combined entity is expected to form a ~$2.5 billion technology services firm, with AI-led engineering, Cloud, and Data services projected to generate ~$2 billion in revenue by FY27. The deal also materially scales Coforge’s presence in Hi-Tech and Healthcare, expands its near-shore delivery footprint in Latin America, and strengthens its reach across the West and Mid-West US. The combined organization will serve 45 clients with annual revenues exceeding $10 million each.
Encora is expected to generate ~$600 million in FY26E revenue with healthy margins, while the transaction itself is anticipated to be EPS accretive by FY27. For Coforge, the acquisition marks a strategic inflection point—positioning the company with a stronger AI-native core, expanded global delivery, and enhanced ability to help enterprises translate AI promise into real-world impact.