Cummins Info, KPIT Infosystems To Merge

Pune: | Updated: Apr 24 2002, 05:30am hrs
Cummins Infotech Ltd is going to merge with KPIT Infosytems. The board meeting of both the companies is slated to be held on April 30, 2002 to consider and approve the scheme of amalgamation/merger. The merged entity is likely to be called KPIT Cummins Infotech Ltd.

Cummins Infotech is 49 per cent owned by Cummins Inc and 51 per cent of the stake is with Cummins India Ltd. This company was spun out of Cummins India Limited about two years ago. It was into providing IT services for all Cummins entities across the globe. It has 71 employees.

KPIT is a listed IT company based in Pune and has subsidiaries in the US, UK and the Middle East. The nine-month turnover of KPIT in 2001-2002 was Rs 35.06 crore with profits of Rs 1.25. Last year (nine months) the company’s turnover was Rs 39.2 crore with a profit after tax (PAT) of Rs 3.42 crore. KPIT’s team strength is around 280.

A software development and implementation services company, KPIT was established in 1990 and went public in 1999.

KPIT has a presence in the financial services, manufacturing and hi-tech industries domain with core competencies in the areas of e-business solutions, enterprise applications, data warehousing, application integration and embedded systems.

Cummins Infotech currently caters to Cummins Inc and their associates worldwide.