Datamatics to merge US operations with CorPay
By siliconindia   |   Thursday, 16 October 2003, 19:30 IST
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MUMBAI: Mumbai-based BPO services company Datamatics Technologies, has acquired US-based CorPay Solutions in an all-cash deal. Datamatics’ US operations, which has over 75 people, will be merged with CorPay. Detroit-based CorPay is a $13 m company specialising in finance and accounting-related BPO Services. The company has customers like Ford, General Motors and Daimler Chrysler. It has over 200 people. As a result of the merger, the combined strength of the US operations of the merged entity will go up to around 300 people. Datamatics has paid around $9m through its reserves for CorPay as reported earlier by ET. The buy will boost Datamatics’ revenues which is poised to exceed Rs 150 crore. Speaking to ET, Manish Modi, managing director & CEO of Datamatics Technologies said, “The objective is to use CorPay as an on-site customer-facing entity and leverage its customer base to offer other offshore services by Datamatics in Indian centers.” Barry Lemay, CEO, CorPay Solutions said, “CorPay will be able to enlarge its service offering and leverage the Datamatics Indian resources.” CorPay has been acquired at less than the current revenues of the company as some of the debt liabilities of the companies have not been acquired by Datamatics. The senior management team of CorPay will continue to function and some people like Mr Lemay will join the senior management team of Datamatics. “Datamatics’ acquisition of CorPay is perhaps the largest cross-border deal by an Indian BPO company in the transaction processing space. This buy has provided DTL with the market permission to exploit the rapidly-growing F&A BPO opportunities”, said Ranjan Biswas, partner Ernst & Young. (source: Economic Times)

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