Under lens for $200-million Panaya buyout, Infosys to acquire UK design firm for 7.5 million pounds

By: | Updated: August 4, 2017 10:37 AM

India’s second-largest information technology services company said it will acquire UK-based Brilliant Basics, the value of which was reported by several news reports at GBP 7.5 million, or about Rs 62.76 crore.

Brilliant Basics product design and customer experience company, and will add to Infosys’ existing digital studios across Bengaluru, Pune, Chennai, Dallas, Berlin, Melbourne, New York, and San Francisco. (Image: Reuters)

Under fire from the company’s founder Narayana Murthy over accusations of lapses in corporate governance, including that on an earlier $200-million acquisition of a software firm Panaya, Infosys Ltd has gone ahead and announced another buyout in London, though much smaller in size this time. India’s second-largest information technology services company said it will acquire UK-based Brilliant Basics, the value of which was reported by several news reports at GBP 7.5 million, or about Rs 62.76 crore. Infosys shares were under a little pressure today, down 0.37% at Rs 980 on BSE, amid sluggish benchmark markets.

Earlier yesterday, news reports emerged about yet another letter written by Narayana Murthy to Infosys, this time demanding that the findings of the law firm Cyril Amarchand Mangaldas, regarding corporate governance lapses and probe into acquisition of Panaya, be made public. Infosys had previously said that a probe into the controversial acquisition has cleared it of wrongdoing.

Infosys had come under severe scrutiny after news reports emerged about whistleblower complaints to SEBI, alleging improprieties in acquisition of the software company Panaya. ET Now reported that Narayana Murthy has sought full details of the probe, and has asked for complete disclosure on the relationship between executives of Infosys and Panaya’s investors in the interest of transparency.

Also read: Narayana Murthy’s fresh salvo at Vishal Sikka; wants Infosys to make legal findings public

As for its latest buy, Brilliant Basics product design and customer experience company, and will add to Infosys’ existing digital studios across Bengaluru, Pune, Chennai, Dallas, Berlin, Melbourne, New York, and San Francisco. Adding Brilliant Basics’ design and CX capabilities has already proven to be invaluable, helping Infosys close large deals with a deep blend of skills,” Ravi Kumar S, President and Deputy Chief Operating Officer, Infosys, said in a statement. “Brilliant Basics will leverage the breadth and depth of Infosys Digital to drive digital transformation solutions, which connect our clients’ Systems of Record to new Systems of Engagement.” Ravi Kumar S said.

With the acquisition of Brilliant Basics, Infosys aims to improve its expertise in the financial services, retail and telecom sectors across Europe and the Middle East, the company said in the statement. Infosys expects to complete the acquisition by the second quarter (Jul-Aug) of the current fiscal, it said.

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