NIIT Tech acquired Madrid based Proyecta

NIIT Tech acquired Madrid based Proyecta

New Delhi: NIIT Technologies Ltd has acquired Madrid-based Proyecta Sistemas de Informacion SA, a software services company that specialises in the travel and financial services segments, for an undisclosed sum.

NIIT gets a significant portion of its revenue from these two segments.

Financial details of the transaction were not released.

The acquisition will bolster NIIT’s presence overseas by providing access to Spanish-speaking countries, including those in Latin America. Proyecta has more than 100 consultants.

“We welcome Proyecta to NIIT Technologies as we strengthen our travel and financial services offerings in the region," said Sunil Surya, president of NIIT Technologies, Europe.

NIIT’s operations in Europe, West Asia and Africa contribute 35% of its revenue.

In July, the company announced a joint venture with Morris Communications Co. Llc, a US-based media conglomerate. NIIT Media Technologies Inc., in which NIIT will own a 60% stake, will provide integrated information technology and outsourcing services to group companies of Morris and other media companies.

The partnership is expected to earn NIIT $85 million (Rs385 crore) in revenue over five years from Morris group companies alone.

The venture entails a total investment of $3.2 million, of which NIIT will invest around $2 million in cash while Morris will transfer its assets — IT infrastructure, people and application landscape — to the new entity.

NIIT shares rose 2.2% to Rs195.65 at 2:30 pm on the Bombay Stock Exchange on Tuesday, outpacing the exchange’s benchmark Sensex’s 0.02% decline.