New Delhi: Software and BPO firm Hexaware Technologies plans to acquire an IT firm in the U.S. or Europe for up to $40 million (Rs170 crore) to expand its overseas operations and expects to close the deal by the end of this year.
The company would also increase its staff strength in India by 1,000 to take the total headcount to 6,000 by the end of this year, Hexaware Technologies Executive Director P. K. Sridharan told PTI.
He said the company has started scouting for companies in the U.S. and Europe for expansion of its Enterprise Resource Planning (ERP) services in verticals such as travel, transportation, banking and financial services among others.
“The acquisition will be an all-cash deal and we expect to close this transaction by the end of this year,” he added.
Sridharan said the acquisition would be in the range of $30 million to $40 million and would give the company a greater access in these markets.
Over 65% of the company’s revenues come from the U.S. market and 26% from its European business while Asia Pacific, including India, constitutes only 5% to 6%.
The company had last year acquired a Mexico-based IT company Fox Frames for $34 million (Rs146 crore) to expand its software testing business.
Hexaware is now in the process of integrating the company with itself and the process would be completed by the end of this year.