ACS completes Mellon HR deal
Affiliated Computer Services Inc. has completed its acquisition of the human resources consulting and outsourcing business of Mellon Financial Corp.
Affiliated Computer Services Inc. has completed its acquisition of the human resources consulting and outsourcing business of Mellon Financial Corp., the company announced today.
The final purchase price was knocked down from $445 million to $405 million to take into account sluggish human resources consulting revenues, ACS said. The Dallas-based company plans to fund the transaction, at least initially, through its existing $1.5 million credit facility.
"The finalization of the acquisition makes ACS a major contender in the end-to-end HR services marketplace," said Jeff Rich, ACS' chief executive officer. The acquisition also further solidifies the company's position as a provider of business process outsourcing services, he said.
Pittsburgh-based Mellon Financial's human resource business services approximately 3,000 clients, and its consulting business is the seventh-largest human resources consulting practice in the United States.
ACS is a provider of IT and business process outsourcing services for the government and commercial sectors. The company has 43,000 employees and annual sales of $4.1 billion.