TCS acquires Chilean firm for $23M
By agencies   |   Tuesday, 08 November 2005, 20:30 IST
Printer Print Email Email
MUMBAI: India’s biggest listed IT company Tata Consultancy Services Ltd (TCS) has acquired 100 percent stake in its Chilean partner Comicrom for $23 million. Comicrom is a privately held company with an employee base of 1,257 and provides Business Process Outsourcing services to banks, insurance firms, pension funds, government bodies and other large corporations in Chile. The company had revenues of $35.5 million during FY-05 and an operating margin of 14 percent, TCS said. TCS and Comicrom have a joint venture in Chile for IT services in which Comicrom holds 49 percent of the equity. As part of this transaction, TCS has also bought out Comicrom's stake in its IT services joint venture in Chile, the company said. TCS said this acquisition will strengthen their base in the Latin American BPO market and boosts its regional staff strength to over 2,000 and its client base to over 100. "This acquisition is a further step in realizing TCS' strategy of acquiring leadership in platform-based BPO for the banking and insurance domain. It also expands TCS' capability in terms of becoming a full services player," TCS Managing Director and CEO S Ramadorai said. “Comicrom brings significant capability in transaction-based banking processes and market leadership in Chile,” he added. TCS Iberoamerica President Gabriel Rozman said, "Comicrom's presence of over 25 years and strong client base gives TCS ready access to local knowledge of the market as well as provides us with deep customer relationships to help drive growth in this entire continent."

siliconindia