Covansys Ties Up With Fidelity

Chennai | Updated: Apr 29 2004, 05:30am hrs
Nasdaq listed Covansys Corporation has announced that its board of directors have unanimously approved a long-term master services agreement (MSA) and a stock purchase agreement (SPA) with Fidelity Information Services Inc, a subsidiary of Fidelity National Financial Inc (FNF).

According to a company press release, MSA will make Covansys the primary strategic provider of outsourced IT services to FNF, a provider of information-based technology solutions and processing services to financial institutions and the real estate industry.

Covansys expects to realise a number of significant financial and strategic benefits as a result of its multi-year MSA with FNF including the generation of an income stream that is expected to increase Covansys annual revenues by over five per cent by 2005. Also, the company expects to generate revenues close to $150 million over the next five years.