Infosys wins $454-mn digital transformation deal from Denmark’s Danske Bank

IT services firm Infosys said on Monday that it was selected by Denmark-based Danske Bank to accelerate the latter's digital transformation.

The deal is valued at $454 million for five years with an option to renew for one additional year for a maximum of three times, according to a news report from Reuters. That said, the deal will have a shelf life of eight years. Infosys will also acquire Danske Bank's IT centre in India, where more than 1,400 professionals are employed, the company said in a statement.

Headquartered in Copenhagen, Danske Bank is one of the largest banks in the Nordiac region with over 5 million retail customers.

Frans Woelders, chief operating officer of Danske Bank said in a statement that the investments in digitalisation and technology includes “plans to further develop our customer-facing digital solutions, and modernising our technology infrastructure to enable even better customer experiences and drive operational efficiency”.

"The partnership will help Danske Bank create more value for their customers using advances in AI, including generative AI," Salil Parekh, Chief Executive Officer & Managing Director, Infosys, said in a statement. 

The company said, it will speed up the bank’s digital agenda by leveraging Infosys Topaz, an artificial intelligence (AI)-first suite of services that combines data analytics, cloud and generative AI technologies to create value for clients, launched in May 2023.

Infosys considers the Nordics region as a strategic market. Earlier this month, Belgium's Keytrade Bank partnered with Infosys Finacle Suite for its core banking transformation. It has also launched a new proximity centre in Gothenburg, Sweden and Oslo, Norway to enable digital transformation programs within the region.

In July 2022, Infosys acquired Denmark-based BASE Life Science, a technology and consulting partners in the life sciences industry and a Salesforce consulting partner Fluido in Finland in September 2018.

The IT major also said that the transactions with Danske Bank are likely to be completed by the September quarter of financial year 2024, subject to customary closing conditions.