Shares in Convergys Corp., a Cincinnati-based outsourcing services firm, rose 7 percent Tuesday after the company said it was acquiring Stream Global Services, an Eagan-based competitor.
Convergys said it will gain market share and be able to lower costs with the $820 million deal. Officials of Stream Global did not return a call for comment.
Both Convergys and Stream Global provide call center and other customer management services for large companies and, when combined, will have annual revenue of around $3 billion.
Stream Global since 2012 has been owned by three investment firms, Ares Management, Providence Equity Partners and Ayala Corp. When they took it private, they moved the company’s headquarters to Eagan. Stream Global had revenue of $860 million that year. The company has 37,000 employees, including about 350 in Eagan, and runs more than 50 call centers in 22 countries.