$150 M Outsourcing Deals In L&T Infotechs Kitty

Mumbai | Updated: Jun 16 2004, 05:30am hrs
L&T Infotech, a 100 per cent subsidiary of the $2 billion Larsen & Toubro Ltd, has bagged outsourcing orders worth $150 million from two Fortune 500 companies.

Company officials, when contacted, declined to comment. Sources told eFE that the company has bagged two orders from two Fortune 500 companies. One of the orders is worth $50 million over a three-year period while the other order is worth $100 million for a five-year period. Both the orders, they added, have the scope to grow to much bigger deals in the future.

As per the terms of the contract, L&T Infotech will take over the IT systems of the company globally which will include information technology support and implementation of SAP or JD Edwards or other applications as demanded by the companies. The company, it is believed, is in discussions with many other clients for a deal that is similar in size.

The recently bagged $100-million deal will be the second deal won by the company. The first $100-million deal was the outsourcing contract they won last year from the US-based telecom equipment maker Motorola, a global player in wireless, broadband and automotive communications technologies. The focus of the company is on manufacturing, financial services, telecom and insurance sectors.