Leading Indian outsourcing company Infosys plans to buy British consultancy Axon Group for $753.1 million as it moves to expand its business advisory footprint, a statement said August 25.
Infosys' CEO Kris Gopalakrishnan said he was "excited" about the deal, which would boost the company's ability to provide "business transformational services" to firms globally.
The acquisition comes as India's flagship outsourcing industry, which has seen profits come under pressure in the international economic downturn, seeks to diversify its activities and look for new business models. The sector is also looking to reduce its dependence on its main market the U.S.
Axon Group Plc, founded in 1994, provides consultancy services to multinational organisations and has about 2,000 employees in Britain, North America, Malaysia and Australia. For the year ended December 31, 2007, Axon reported profit after taxation of 20.2 million pounds (US$37.4 million).
The purchase by Infosys, based in the southern Indian high-tech city of Bangalore, is another sign of corporate India spreading its global wings in making foreign acquisitions. But the pace of international takeovers has slowed from last year. Earlier this year, India's Tata Motors bought Jaguar and Land Rover from Ford for $2.3 billion as it vaulted into the premium global car market.
Copyright Agence France-Presse, 2008