By Kestur G.Vasuki, Bangalore : India's top software services company, Tata Consultancy Services... TCS buys Chile outsourcing
By Kestur G.Vasuki, Bangalore : India's top software services company, Tata Consultancy Services Ltd. (TCS), said on Tuesday that it had acquired Chile's Comicrom for 23 million dollars, while declaring that this was another step towards sharpening its focus on business process outsourcing.
TCS shares rose 1.8 percent to 1,484.50 rupees in a firm Mumbai stock market. Privately held Comicrom, with 1,257 employees, provides services mainly to banks, insurance companies, pension funds, and government organisations in Chile, TCS said.
Comicrom counts 70 percent of Chile's banks as customers and has 57 percent of the country's check processing business. It made revenue of 35.5 million dollars in the financial year 2005.
S.Ramadorai, the Chief Executive Officer and Managing Director of TCS, outlined the significance of the acquisition, saying that it will be an ideal platform for the company to access the Latin American market.
“The significance of this acquisition in Latin America and Chile a company by the name of Comicrom is extremely important to our platform based BPO verticalised in the pensions and banking industry. We get along with the acquisition over a thousand people into the organisation because our capability to speak in Spanish as well as English, which gives an enormous leverage to address the market in Latin America. Second important strategic intent is to access those clients through the BPO entity through IT services which is the cross-selling opportunity,” Ramadorai said.
“The third one is any Spanish speaking part of the world including from US or Spain this particular operation in Latin America including Uruguay, Chile and Brazilian prisms will help us to grow. We view Latin America as very strategic from both our IT services and platform based BPO,” Ramadorai added.
TCS and Comicrom already have a joint venture for software services in Chile, and TCS bought out Comicrom's 49 percent stake as part of the transaction.
This is cache, read story here