Datametica Acquisition: Key Details, Impact, and What Comes Next

Onix's acquisition of Datametica marks a significant step in the data and AI industry. By integrating Datametica's expertise in data migration and analytics, Onix aims to enhance its capabilities in cloud migration and AI-driven solutions. This strategic move is expected to accelerate digital transformations for customers, setting a new standard in the industry.

What Is Datametica?

Founded in 2013, Datametica specializes in data warehouse modernization and migration to the cloud. Its core products include the "Datametica Birds" suite: Eagle for planning and optimization, Raven for automated SQL and ETL conversion, and Pelican for data validation. Unique selling points include automated tools that reduce manual effort, the fastest ramp-up time for cloud migration, and cost efficiency, offering migrations at half the cost and twice the speed of traditional methods.

Who Acquired Datametica?

Onix is a prominent player in the data and AI-driven transformation industry, specializing in cloud solutions and services. As a leading Google Cloud partner, Onix offers a range of services including Data Analytics, AI/ML, Cloud Migration, and Security & Compliance. Their proprietary products, such as Eagle for cloud migration planning and Raven for code translation, further enhance their offerings. Onix's extensive expertise and innovative tools position them as a key influencer in driving digital transformation across various industries.

When Was Datametica Acquired?

Onix acquired Datametica on October 5, 2023. This acquisition comes at a time when the industry is heavily focused on data modernization, AI/ML, and analytics. The move aligns with the growing trend of leveraging cloud migration and generative AI to drive business outcomes. Notably, Datametica was awarded Google’s Data Analytics Partner of the Year for 2023, underscoring the strategic importance of this acquisition in enhancing Onix's capabilities in data and AI solutions.

Why Was Datametica Acquired?

• Market Expansion: The acquisition allows Onix to operate in the United States, Canada, UK, Singapore, and India, significantly expanding its market reach. This broader geographic footprint enables Onix to service over 1,800 customers across various industry domains, enhancing its global presence.
• Technology Integration: Datametica's proprietary products, such as Eagle, Raven, and Pelican, automate the migration and modernization of data warehouses, databases, and ETL processes to Google Cloud. Integrating these technologies with Onix's existing solutions reduces risk, time, and cost for customers, making data migration more efficient.
• Competitive Advantage: The acquisition strengthens Onix's competitive position by combining its expertise in cloud migration, application modernization, and AI solutions with Datametica's strengths in data migration and analytics. This joint portfolio offers unmatched capabilities, enabling faster, lower-cost, and lower-risk data migrations, and is further bolstered by support from Tailwind Capital.

Acquisition Terms

• Acquisition Price: The acquisition price was not publicly disclosed.
• Payment Method: Equity financing for the Datametica acquisition was provided primarily by Tailwind Capital.
• Key Conditions or Agreements:
  • Tailwind Capital continues to support an aggressive acquisition plan for Onix.
  • The combined organization will operate across multiple regions, including the United States, Canada, UK, Singapore, and India, and will serve over 1,800 customers.
  • BMO Harris served as financial advisor to Datametica, and Avendus Capital served as financial advisor to Onix as part of the transaction.

Impact on Datametica

The acquisition of Datametica by Onix has led to significant changes in operations and management. The combined organization now operates across multiple regions, including the United States, Canada, UK, Singapore, and India, with over 1,000 experts in data engineering, machine learning, and data science. Gurvendra Suri, a Tailwind Operating Executive, serves as Executive Chairman of Onix, ensuring a seamless integration of both companies' strengths. This merger leverages Datametica's proprietary products to automate data migration and modernization processes, enhancing Onix's capabilities in cloud migration, application modernization, and AI-driven solutions.

Product offerings and services have also seen a substantial boost. Datametica's suite of products, including Eagle, Raven, and Pelican, are now integrated into Onix's portfolio, providing faster and more reliable data migration and modernization services. This joint solution portfolio accelerates data and AI-driven value to customers, offering a comprehensive range of services in data engineering, machine learning, and data science. Employee reactions have been overwhelmingly positive, with many expressing enthusiasm about the future prospects of the combined entity. While specific customer reactions are not detailed, the enhanced capabilities and expanded service offerings suggest a positive impact on customer satisfaction and service delivery.

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