NEC Corporation inked a deal to buy CSG Systems International for around JPY438.5 billion ($2.9B), a deal it expects to boost its offering to mobile operators and other industry sectors including media, financial services and logistics.

The buyer noted the price included debt and amounted to a more than 17 per cent premium on CSG’s closing share price yesterday (28 October).

NEC highlighted the buy would improve its position in provision of “next-generation digital solutions” and help accelerate “AI and cloud-driven innovation for customers across industries”. It will also expand its presence in North America.

US-based CSG supplies software-as-a-service (SaaS) products including billing and payment systems and customer engagement tools to a range of industries. Existing customers include MTN South Africa, AT&T, Mastercard and home security specialist ADT.

NEC stated the addition of CSG’s “proven SaaS product portfolio and strong global customer base” to the company and US subsidiary Netcracker would provide “meaningful value to customers through a diversified and expanded product portfolio”.

It added the products and expertise being gained would build on Netcracker’s existing capabilities, with its unit providing a “complementary footprint and deep expertise” in BSS and OSS systems it noted aligns “naturally with CSG’s strengths”.

The deal has been approved by the boards of both businesses and is expected to close during 2026, subject to approvals including from regulators and CSG shareholders.