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Europes largest computer consultancy eyes acquisitions in India.
Capgemini, the largest computer consultancy in Europe, is negotiating with several Indian non-voice BPOs to reinforce its growth in India.
According to Capgemini, the rapid developments going on in Indias IT sector is a major decisive factor which is driving multinationals to increase their stake in the country. Capgemini is looking at a consolidation and expects to seal the deal soon.
Capgemini currently employs 4,000 people in India, the highest among any European company in India, recruiting more than 400 people a month, and expects to require 14,000 information technology staff by 2008. The company is now considering an acquisition to increase its base and stabilize its operations.
Currently, India is the hottest destination for IT outsourcing as it offers low-cost skilled professionals, as well as infrastructure.
Currently, Capgemini is viewing IT services companies as potential acquisition targets, but it is not leaving out non-call center BPO companies either.
The top three IT services company in India TCS, Infosys, and Wipro are highly valued and are unattractive targets for Capgemini, which is instead targeting smaller companies who do not quite enjoy the same stock and reflect a slower pace of growth compared to their peers. |
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