September 10th, 2018 – Indra, one of the leading global technology and consulting companies, has acquired Advanced Control Systems (ACS)
Through this deal, Indra is positioned to capture the high growth potential of the energy transmission and distribution networks advanced management market, estimated at $700 million in 2016, and expected to grow at an annual rate of 20%, to reach an overall volume of $1.8 billion by 2021.
With both companies’ complimentary technology solutions, and the geographical presence of the two companies, this acquisition significantly improves Indra’s overall position in this global market.
With ACS, Indra completes a comprehensive solution offering by adding ACS’s SCADA (Supervisory Control and Data Acquisition) and real time solutions for operating transmission and distribution networks to Indra’s current software solution platform, tailored to the energy and utility companies.
Indra currently has an extensive solution set with its IT platform, tailored to the enterprise needs of energy and utility companies around the world. Suites like InGen, InGrid and InCMS cover the IT needs of its clients to manage the entire value chain – generation, networks and commercialization of electricity, gas and water. Indra has solid references of its solutions in over 140 utilities worldwide.
The addition of ACS to Indra’s portfolio enables, for the first time, a combined IT/OT (Information Technologies/ Operation Technologies) value proposition, and strengthens Indra’s overall offering with a proven Operations Technology offering of real time software solutions, such as SCADA, smart feeder automation, and distributed energy resource management.
With the energy utility industry increasing its use of software, along with active data management to optimize asset performance and enhance consumer service and engagement, the combination of Indra and ACS is timely and anticipates global market trends. It responds to the future evolution of the sector, where trends like Smart Grid or Industry 4.0 will demand solutions that integrate both IT and OT.
Furthermore, the transaction allows Indra to enter the U.S. and Canadian markets, a region with more than 3,200 utilities, mostly municipalities and cooperatives, which presents a growth target for Indra in this geographical market. These references add to Indra’s significant presence and references in Europe and Latin America.
The combination of complementary businesses allows cross-selling with both companies’ current client bases; namely, the sale of Indra solutions in the U.S. and Canada, and the sale of SCADA in Indra’s geographies, also increasing the potential for jointly securing new clients.
The potential of the deal between Indra and ACS has already been demonstrated through joint generation of a solid pipeline of commercial opportunities in the last few months.