MphasiS acquires Princeton Consulting in Rs 60 cr deal

Bangalore, Feb 14 | Updated: Feb 15 2005, 06:12am hrs
In order to strengthen its UK presence, MphasiS BFL group has acquired London-based Princeton Consulting.

MphasiS chairman and CEO Jerry Rao said the company has acquired Princeton Consulting for 7.73 million pounds (approximately Rs 60 crore) including cash of 3.23 million pound in an all cash deal. The net value of the deal adjusted for the surplus cash remaining in Princeton Consulting is 4.5 million pound (around Rs 36 crore).

Princeton Consulting, with an annual revenue of 6 million pound is a niche consultancy services company that provides integration of CRM solution and provides back office support for its clients. This acquisition makes us strong in offering CRM solutions for our clients, said Mr Rao.

He said that this acquisition will help MphasiS have strong presence in European markets. Princetons areas of expertise include multi-channel customer service and support, sales force management, content management and business intelligence, he said.

The employees of Princeton, around 100 of them will be integrated into the group. Afshin Rabbani, CEO of Princeton will join us as a vice-chairman of our marketing force for the European operations, said Mr Rao.

This is second acquisition for MphasiS BFL in the current fiscal. Earlier the company had acquired Kshema Technologies for $21 million in April 2004. We are looking for IT/BPO companies for acquisition in future, said Mr Rao.

MphasiS BFL gets around 13-15% of its revenue from the European region. With this acquisition, the company is expected to increase its business from this region. The acquisition process is expected to be completed in two weeks.