| Acquiree |
Acquirer / VC |
Value |
Date |
Reason For Acquisition |
| Actionline [BPO company] |
Aegis [Essar Group Company] |
Not Available |
Oct 2010 |
"We have entered into an agreement with Young and Rubicam Argentina and their local partner to fully acquire their jointly held business process outsourcing (BPO) company Actionline in Argentina," Aegis said in a statement. |
Apollo Contact Centre (British Telecom arm)
Belfast, Ireland |
HCL Tech BPO |
$11.5m |
May 2002 |
Onsite facility to expand services to European market. $31m revenues for three years from BT. |
Town And Country Assistance
Ipswich, UK |
WNS |
Not Available |
August 2002 |
To enter the insurance claims procesing market. |
Embrace
Singapore |
IndiaLife Hewitt |
Not Available |
April 2003 |
To expand presence in the Asia-Pacific region. |
Core3
Phoenix, USA |
Ephinay |
Not Available |
July 2003 |
To acquire customers and consulting experience, move up the value chain and get a US delivery centre. |
ClaimsBPO
USA |
WNS |
Not Available |
September 2003 |
To enter the US healthcare market. |
CorPay Solutions
Detroit, USA |
Datamatics |
$9m |
October 2003 |
Set up US front-end and ramp up finance and accounting offering. |
Upstream
Philadelphia, USA |
Godrej |
$6m |
November 2003 |
To enter the $800m travel services market in the US. |
Aegis Communication Corp
Texas, USA |
Essar (with Deutsche Bank) |
$28m |
November 2003 |
Access to blue-chip telecom and financial services firms. 5000 seats and 11 centres in the US. |
Simpata
San Francisco, USA |
Indecomm |
Not Available |
December 2003 |
Establish US delivery centre. |
| Acquiree |
Acquirer / VC |
Value |
Date |
Reason For Acquisition |
Pipal Research
Illinois, USA |
ICICI OneSource [51% stake] |
$1.25-1.5m |
September 2004 |
Enter the high-margin research and analytics market. |
Source One Communication
New Jersey, USA |
Hinduja TMT |
$8.5m |
September 2004 |
Centres in New Jersey, Toronto, Manila; multi-lingual capabilities in French and Spanish. |
Cambridge Integrated Services
Illinois, USA |
Scandent Group |
$110m |
September 2004 |
Enter the insurance claims processing segment, expand presence to Australia and the US. |
Accounts Solutions Group (ASG)
New York, USA |
ICICI OneSource |
$40-45m |
October 2004 |
Staff strength of 500 in US delivery center to enter the high-margin, late-stage collections market. |
Devonshire Group
London, UK |
OfficeTiger |
Not Available |
November 2004 |
Expand capabilities to consulting and staffing services. |
| HealthScribe |
Spheris |
Not Available |
December 23, 2004 |
With the acquisition of Avicis/HealthScribe, currently the nation's third largest medical transcription outsource provider, Spheris is now positioned to more rapidly expand its product and service offering of complete medical transcription technology and outsourcing services to healthcare providers throughout the U.S. and Canada. |
| Spanco Telesystems |
Intelenet Global Services |
Rs 100 crore |
November, 2005 |
Spanco's domestic BPO business will be farmed out into a separate listed subsidiary, to be owned 51% by Intelenet Global and 49% by Spanco's present shareholders. The Anil Ambani Group owns 14.9% of Spanco |
| b2k |
Allsec Tech |
$3m all-cash deal, final consideration will depend on the revenues of the company from Dec 2005-March 2006 |
Signed in Dec 2005, to be completed by March 2006 |
Allsec gets a strong foothold into the technical support vertical |
| Office Tiger |
RR Donnelley |
$250m all cash deal |
Signed in March 2006 |
Donnelly to cut its own costs by outsourcing printing to OfficeTiger |
| Acquiree |
Acquirer / VC |
Value |
Date |
Reason For Acquisition |
| ICICI OneSource |
Temasek, ICICI, WestBridge Capital Partners, Metavante |
Metavante picks 11.5% stake in ICICI OneSource |
Signed in April 2006 |
Metavante has relationships with over 8,000 financial institutions, including 91 of the top 100 US banks. Metavante will be the exclusive distributor of I-OneSource's BPO services in the North American banking and financial services and payments markets. |
| Secova eServices |
UltraLink |
Not Available |
Signed in April 2006 |
The merger of the two companies came into being with Trident and Capz the two major investors of Ultralink being bought over by Bearings Private Equity the major stake holder of Secova. This merger enables the combined company to leverage technology, global delivery centers and best-in-class processes to deliver an integrated, human resources and benefits administration supply chain at a cost effective price point regardless of an organizations' size. |
| G K Management Services India Ltd |
Stock Holding Corporation of India (SHCIL) |
Not Available |
Signed in May 2006 |
GKM does back-office operations in the areas of finance, accounting and insurance claim processing. The synergy of GKM and SHCIL services would help ramp up the operations and offer a bouquet of services. |
| Genpact Ltd |
Headstrong Corporation |
$550M |
Signed in April 2011 |
|
| IMG Group |
EBS Worldwide |
$6-7m |
Signed in May 2006 |
EBS is a marketing services BPO and IMG is in US. EBS hopes to tap the US market better thru IMG |
| Inductis |
EXL Service Holdings |
$20-40m [stock-cum-cash, majority in stock] |
Signed in July 2006 |
A strategic acquisition to strengthen EXL's research and analytical vertical. |
| Minacs |
Transworks |
$125m [share-cum-cash deal for 46.4% acquistion of promoters equity] |
Signed in June 2006 |
Canada based Minacs has an annual revenue of $265m. Transworks wil have an combined revenues of $300m |
| Progeon |
Infosys |
Rs 530 crore: Infy acquired 87,50,000 equity shares, 23 per cent of Progen from Citicorp International Finance Corporation |
July 2006 |
|
| Armanti Financial Services, LLC |
Apollo Health |
$31m |
August 2006 |
|
| Indigo |
Capgemini |
Capgemini acquired 51% |
September 2006 |
|
| Acquiree |
Acquirer / VC |
Value |
Date |
Reason For Acquisition |
| Olympus Capital |
Quatrro |
$100m |
September 2006 |
|
| LiveIt Solutions Inc. |
Integreon |
After acquisition of shares from Connect Capital and The View Group it will infuse $20m into Integreon |
October 2006 |
|
| Affina |
Hinduja TMT |
|
October 2006 |
|
| Afinity Express |
Ayala Corp |
$25m |
December 2006 |
|
| BPM Inc. |
Firstsource Solutions |
$30m |
January 2007 |
Acquisition includes BPM's two wholly owned subsidiaries - MedPlans 2000 and MedPlans Partners. |
| Vantedge |
Essar Gobal |
Rs 100 Crore |
January 2007 |
Acquisition is expected to contribute over USD 25 million in revenues to the BPO business of Essar |
| Lason |
HOV Services |
$148m |
February 2007 |
Acquisition will help HOV make an entry in new business verticals like transaction processing, healthcare and media |
| Sitel India |
Sitel Corporation |
$22.2m |
March 2007 |
Tata Consultancy Services is exiting its joint venture BPO, Sitel India, by selling its 40% stake for $17.73 million to Sitel Corporation. Tata International is exiting by selling 10% stake for $4.47m |
| Marketics |
WNS |
$65m in cash |
March 2007 |
WNS to enhance knowledge services business, which provides market research, business & financial research and analytics services. |
| Acquiree |
Acquirer / VC |
Value |
Date |
Reason For Acquisition |
| Four Lakes Colorgraphics |
Laserwords |
$11m |
August 2007 |
The two decade old Four Lakes is a full service pre-media company with two facilities in Wisconsin and New York City. It is believed that Four Lakes project management, design and editorial development skills will combine will with Laserwords technical strength to provide on-shore, off-shore and hybrid delivery models. Laserwords will have over 1000 employees post acquisition. |
| HCCA Business Services Pvt Ltd |
3i Infotech Ltd |
3i acquired 51% of HCCA. Amount Not Disclosed |
August 2007 |
HCCA has been acquired for its delivery capabilities in HR operations, including large scale payroll processing for clients in the BFSI sector |
| Infocrossing |
Wipro |
$600m / 60 times Infocrossing's earnings for the last 12 months |
August 2007 |
The deal will give Wipro five data centers in the U.S. and approximately 900 employees, as well as access to Infocrossing's U.S. customers. After the acquisition, Wipro's IT infrastructure management practice will be 1.5 to 2 times larger than its nearest peers, Tata Consultancy and HCL Tech. While this will enable the company to compete more effectively in larger IT management deals. |
| Telecom Service Centres |
Hero Group |
£40 million |
September 2007 |
The new entity will be christened TSC Hero and will offer customers a multi-site solution, increasing market potential and growth prospects in the core markets of Europe, Asia and the US. |
| Usha Martin |
Converso Contact Centres |
The Jhawar family, main share holders of the Usha Martin Group acquired 76% of Converso for an undisclosed amoun |
September 2007 |
Jhawars are investing in both new and existing international locations and plan to build facilities for a total of 2,000 contact centre seats globally (both on-shore and off-shore) that will meet the demands from major blue chip organisations and give them the choice of leveraging domestic and overseas BPO capabilities. |
| Florida based GSR Physician Billing Inc and GSR Systems Inc and Oregon-based medical transcription services provider DenMed Inc |
Accentia Technologies |
Rs 80 crore |
October 2007 |
While the GSR group companies have revenues of $3 million each, DenMed had revenues of $1.5 million. The company expects to add nearly $10 million to its topline by way of these acquisitions. |
| marketRx |
Cognizant |
$135m in cash |
October 2007 |
This acquisition expands Cognizant's capabilities in the analytics segment and broadens our service offerings for the life sciences industry while providing strong synergies with our existing business intelligence/data warehousing and CRM (customer relationship management) services. |
| Citi BPO |
Genpact |
$630m for 90% stake |
October 2007 |
The Firstsource bid was around $100 million more than that of Genpact and although Citi was keen on doing the deal with Genpact, it was caught in a bind over the bids. |
| Dalglen |
Hero Group |
#40 million (Rs 320 crore) |
December 2007 |
Dalglen has a large presence in Scotland. It is one of the largest call centres in Europe and in the UK. Post acquisition, the combined group will have clients spread across sectors like telecom, financial services, IT, retail, utilities and consumer durables. The deal covers several wholly-owned subsidiaries of Dalglen including Telecom Service Centres (TSC), TSC Credit Management, Sigdev and 9 dormant subsidiaries of TSC. Dalglen group had annual revenues of #55 million in 2007 and is growing at a 15% clip annually. It has nine sites across the UK and an employee base of 3,000. |
| WNS |
PE fund Nalanda India |
$32-34 million for 5.25% stake [2.2 million shares] |
March 2008 |
WNS is the second Warburg portfolio firm where Nalanda India, the India fund of Singapore-headquartered private equity fund Nalanda Capital, is known to have invested. The $400-million fund, which has a mandate to invest only in publicly-listed companies, had picked up a 14.9% stake in Jaipur-based Vaibhav Gems. |
| Acquiree |
Acquirer / VC |
Value |
Date |
Reason For Acquisition |
| RSM McGladrey |
Quatrro |
$50 million |
April 2008 |
McGladreys has some $18 million in billings and its 600 or so staffers, including 200 in the U.S. Quatrro has 1600 employees |
| Quatrro |
John Keells Holdings (JKH) |
$5.72 million for 44% stake |
April 2008 |
A new legal entity has been carved out from the merger of Quatrro's own finance and accounting practice and RSMs FPO unit. John Keells has picked up 44% stake in this new entity |
| Babel Media |
Quatrro |
$100-125m |
June 2008 |
As part of the transaction, which is being funded by DE Shaw, the New York-based investment group is picking a minority stake of around 5-10 per cent in Quatrro for an undisclosed sum. Besides this, DE Shaw will also hold a minority stake in Babel and will provide leverage finance for the acquisition. Quatrro will hold a majority stake in the UK-based firm. |
| Aviva Global Services |
WNS |
$230m |
June 2008 |
Acquired Aviva Global Services, the UK-based insurance giant's captive BPO in India and Sri Lanka, for $230 million. WNS has beaten Aviva's other vendors EXL and 24/7 Customer to clinch the deal. The deal will also see WNS securing UK-based insurance giant Aviva's committed $1 billion outsourced work over an eight-year period.
The buyout will bring over 6,500 employees of Aviva Global Services spread across Bangalore, Pune, Noida, Chennai and Colombo under the WNS fold.
|
| En Pointe Global Services |
Allied Digital Services |
80% for $24m |
July 2008 |
The deal gives Allied Digital access to a ready customer base for remote infrastructure management services and a base in the US to expand its presence. |
| PeopleSupport |
Aegis Communication Corp |
$250m |
July 2008 |
This is Essar's 11th BPO acquisition since 2005. PeopleSupport has annual revenues of around $141 million and Aegis, which is unlisted, has revenues of $320 million. The acquisition gives Aegis a sizeable presence in Philippines, which is a key region for BPO players servicing the US market, as well as presence in Costa Rica. The Costa Rica facility gives it a nearshore presence to US. Aegis gets about 8,500 employees from the acquisition. |
| Control Point Solutions |
HCL Tech BPO |
$20.8m |
August 2008 |
Control Point Solutions is a privately-held voice, data & wireless telecom expense management (TEM) service provider. Under the deal, HCL will acquire four delivery centres in US with over 200 professionals. The strategic acquisition of Control Point Solutions is in line with HCL BPOs goal to make strategic, platform-based acquisitions which give us sustainable competitive advantage in chosen verticals. This acquisition enhances HCLs ability to become an end-to-end provider of business process outsourcing services in the attractive TEM space |
| Cambridge Solutions |
Xchanging PLC |
£83 million (Rs 686.84 crore) - Rs 371.2 crore in cash and issue 15,249,998 New Xchanging Shares. The New Xchanging Shares amount to 7% of the Company's current issued ordinary share capital. |
October 2008 |
The addition of Cambridge Solutions to Xchanging delivers greater scale, broader international reach and a number of platforms for significant future growth. In particular, the Acquisition brings the following strategic advantages:
- processing capabilities and a strong market presence in the USA, which can serve as a springboard for future growth;
- the addition of scale to Xchangings Indian BPO platform and the creation of offshore critical mass;
- the addition of a strong Australian business and a platform for Xchangings growth in the region;
- the addition of scale and the enhancement of the Xchanging Groups IT capabilities; and
- the opportunity to create a truly international insurance processing business with significant combined revenues.
|
| Citigroup Global Services (CGSL) |
TCS |
$505 m |
October 2008 |
This deal marks the largest buyout of a foreign captive BPO in India. The largest captive BPO acquisition till date was WNS's take over of Aviva BPO for $230 million. Citigroup BPO handles services such as credit cards, consumer finance, retail banking, capital markets & banking as well as global transaction services.
The Citi BPO has EBIT margins of 20% and is expecting the revenues to touch $278 million this year. The transaction is expected to be closed by last quarter of FY08. Merrill Lynch was the advisor to TCS on the deal.
TCS said in a statement that the acquisition will broaden its portfolio in the end-to-end IT and BPO services in the global banking and financial services sector. TCS said that it will leverage on capabilities of Citi BPO to serve large global banks.
|
| Fidelity Investments |
EXL Service Holdings |
$10m for additional 6.77% stake, total of 21.77% |
November 2008 |
Analysts say it makes good sense for investor to look at IT & BPO firms due to the drop in their valuations. Earlier valued at four times their revenue or 14 times their operating profits, these firms are now trading at half those multiples. As per the last disclosed shareholding pattern of EXL prior to this transaction, Oak Hill Strategic Partners held a 36.5% stake in the BPO firm, followed by Fidelity (15%). BlackRock Financial Management is the other leading shareholder with an 8.2% stake. Founders Rohit Kapoor and Vikram Talwar hold 6.9% and 6.2% respectively. |
| InfoVision |
Serco Group |
$75m / Rs 240 crore |
November 2008 |
InfoVision group has about 10,000 personnel and 60 clients. Serco, which offers a whole spectrum of support services but did not have a presence in the BPO space prior to the InfoVision acquisition, plans to have a workforce of 20,000 in the next 2-3 years. |
| Citi Technology Services Ltd (Citos) |
Wipro |
$127m |
December 2008 |
The cash deal would allow Wipro to get $500 million worth of assured business in software services and infrastructure management over the next six years. |
| LaurelTech Integrated Publishing Solutions |
DiacriTech |
Undisclosed |
Feb 2009 |
The acquisition will help position the company to work in a hybrid onshore/offshore model, capable of delivering design, editorial and project management capabilities in the US. |
| UCMS Group Ltd |
Aegis Communication Corp, BPO arm of Essar |
A$54m (Rs 200 crore) |
April 2009 |
With this acquisition, Aegis will have operations in India, Philippines, the United States, Costa Rica, Kenya and Australia. |
| Schneider National, Czech Republic |
EXL Service Holdings |
Approx $40m |
July 2009 |
The unit provides finance and accounting services to logistics firms in Europe in multiple languages such as English, German , French, Italian and Spanish. Through this acquisition EXL has a presence in Eastern Europe. Eastern Europe is an attractive BPO destination both due to the language capabilities and the nearshore advantage for catering to markets in Europe |
| UBS BPO Unit, Hyd |
Cognizant |
Approx $75m |
October 2009 |
As part of the transaction, financial services provider UBS and Cognizant have entered into a multi-year services pact, under which Cognizant will provide business process outsourcing (BPO), knowledge process outsourcing (KPO), IT and remote infrastructure management services to UBS divisions globally. The UBS unit, called UBS India Service Centre (UBS ISC), employs about 2,000 associates |
| Acquiree |
Acquirer / VC |
Value |
Date |
Reason For Acquisition |
| AmEx Travel Services Captive India |
EXL Service Holdings |
$30m |
October 2009 |
EXL gained around $160 million outsourcing contract spread over eight years. EXL has 10,500 employees, AmEX travel BPO has 800. |
| McCamish Systems |
Infosys BPO |
$38m, additional $20m based on targets |
Expected Dec 2009 |
|
| EXL |
Outsource Partners |
$91mn |
May 2011 |
|
| Source: Media Reports |
