EXL has signed a definitive agreement to acquire AI data annotation and model training company iMerit for up to $310 million. The transaction includes an upfront payment of $170 million, with an additional $140 million tied to performance-based milestones over the next two years. The acquisition is expected to close in the third quarter of 2026, subject to customary regulatory approvals and closing conditions.
The acquisition will strengthen EXL’s capabilities in AI model training, evaluation, and reinforcement learning. iMerit works with foundation model developers to improve the accuracy and performance of large language and multimodal AI models.
Following the acquisition, EXL plans to integrate iMerit’s Ango platform with its AI platforms to combine AI model evaluation, human expertise, and enterprise workflows. The deal also gives EXL access to iMerit’s global network of domain experts, including physicians, scientists, engineers, and linguists, who contribute to AI training and reinforcement learning.
The acquisition expands EXL’s presence in sectors such as healthcare, insurance, banking, capital markets, high technology, mobility, autonomous systems, and physical AI, where demand for domain-specific AI models and high-quality training data continues to grow.
Rohit Kapoor, chairman and chief executive officer of EXL, said, “As organizations reimagine their businesses with AI, success requires industry-specific data, rigorous evaluation, and reinforcement learning to deliver reliable results in business-critical workflows. The acquisition of iMerit strengthens EXL’s AI strategy and ability to help clients move from experimentation to production.
He further added, “By combining iMerit’s capabilities with EXL’s domain expertise and AI platforms, we are setting the standard for AI that is trusted, accountable and built to perform in the enterprise.”
Radha Ramaswami Basu, chief executive officer and founder of iMerit, said, “We see EXL as an ideal leader in this defining moment for AI. We can build on our work with AI innovators and bring those insights to companies seeking to unlock their proprietary data. Both companies share a belief that specialized high-quality data is the foundation of AI success. We are excited to multiply our impact through EXL’s industry expertise, complementary technology, and trusted enterprise relationships.”
