Tata Consultancy Services (TCS) has acquired Coastal Cloud, a leading US-based Salesforce consulting firm, for $700 million. This acquisition will significantly strengthen TCS’ Salesforce advisory and consulting capabilities, positioning it among the top 5 firms globally. Coastal Cloud’s expertise in Salesforce clouds and AI-driven solutions will enhance TCS’ ability to deliver comprehensive digital transformation for its clients. The transaction is expected to close by January 31, 2026.
Acquisition Overview
Tata Consultancy Services (TCS) has entered into an agreement to acquire 100% of Coastal Cloud, a prominent Salesforce Summit partner specializing in Salesforce consulting, for an all-cash consideration of $700 million. The acquisition, announced on December 10, 2025, will strengthen TCS’ strategic positioning to drive AI-first, agent-driven transformation.
Strategic Rationale
The acquisition of Coastal Cloud will enable TCS to become a top 5 Salesforce advisory and consulting firm globally. Coastal Cloud is a multi-cloud Salesforce consulting firm that specializes in enterprise-scale transformations, bringing AI-led advisory and business consulting capabilities. Coastal Cloud has a strong presence in Salesforce clouds such as Service Cloud, Sales Cloud, Marketing Cloud, Revenue & CPQ Cloud, and Commerce Cloud.
Coastal Cloud Details
Coastal Cloud, founded in December 2012, is a Salesforce Summit Partner and Salesforce Ventures portfolio company. It had a consolidated turnover of USD 132 million for the financial year ending December 2024 and USD 141 million for the last twelve months (LTM) ending September 2025. It employs nearly 400 Salesforce-skilled professionals.
Transaction Details and Timeline
The enterprise value is up to USD 700 million, including upfront and deferred payments, excluding any customary post-closing adjustments for net debt and working capital. The transaction is expected to be completed by January 31, 2026, subject to regulatory approvals, including Hart-Scott-Rodino antitrust (HSR) approval in the USA.
Synergies and Future Impact
The integration of Coastal Cloud will expand TCS’ geographic presence and deepen its sector capabilities, significantly strengthening its talent pool. TCS is committed to its existing customers and will ensure continuity, consistency, and excellence in service delivery. This acquisition marks a pivotal milestone in advancing TCS’ global Salesforce capabilities and accelerating its AI-led transformation agenda.
Source: BSE
