POLARIS EYES NEW MARKETS, ACQUISITIONS FOR GROWTH

Source: Financial Chronicle

After touching the milestone of $300 million in revenues in financial year 2009, Polaris Software Lab is now looking at growing its business through geographical expansion and vertical acquisitions.

While declining to speak about revenue target plans, R Srikanth, chief financial officer of Polaris said that the company wants to have presence in 40 countries over the next five years.

Polaris has customers in more than 20 markets including in the US, UK, Europe, Singapore, Japan, Thailand, Hong Kong and India.

In the financial year 2010, the Chennai-based company is focusing on expanding its customer base to Egypt, Vietnam and Chile, he said. Already this month, the firm has won an order from Vietnam?s Saigon Hanoi Bank.

These three countries are among the emerging markets ? mainly Apac (Asia Pacific countries), West Asia, Latin America and Eastern Europe ? Polaris is betting on for opportunities. The firm, unlike its peers, is not primarily dependent on the US and at present derives about 31-32 percent of its revenues from the Apac region.

Srikanth also said that Polaris is looking at acquisitions in BFSI (banking, financial services and insurance) verticals to add more scope to the company?s services. ?We are actively looking at companies in the BFSI space. The objective is mainly customer account or country expansion,?? he said.

The company had Rs 340 crore in cash assets in beginning of this quarter, which will be used for any acquisition, he added.

Polaris will also set up two new performance centres of excellence in Pune and Bangalore this financial year.