Infy BPO to buy captive operations of clients

The company seeks to grow its share of the $80-billion global BPO market

 

Infosys BPO, the back-office arm of India's second-biggest software exporter Infosys, plans to acquire captive operations of customers, as the company seeks to grow its share of the $80-billion global BPO market.

 

Almost two years ago, Infosys BPO acquired back office operations of Philips, which assured around $250 million in revenues over the next few years. The acquisition helped Infosys gain entry into Poland and other European countries.

 

"We are open to similar takeovers if the right deal comes through," Infosys BPO CEO Amitabh Chaudhry said. "We are not looking at opening any new centres across the globe, but if such a deal comes along that requires them to have a facility, then we would go ahead."

 

Infosys BPO registered a consolidated revenue of $316 million for FY09, recording a y-o-y growth of around 26 percent. Meanwhile, Infosys continues to see customers lower their back office spending. "During FY09, Infosys BPO took a hit of around $16-17 million because of client ramp downs and cross currency volatility," he said.

 

Source: The Economic Times