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Rediff.com  » Business » HCL buys CapitalStream for Rs 158 crore

HCL buys CapitalStream for Rs 158 crore

February 21, 2008 12:12 IST

IT solutions provider HCL Technologies has acquired CapitalStream, a US-based lending automation solutions provider, for Rs 158 crore  (Rs 1.58 billion) in an all-cash deal.

The acquisition will enhance HCL's ability to provide end-to-end solutions through product and multi-service delivery capability to commercial and retail financial institutions.

Ramkrishna, corporate vice-president, head of mergers and acquisitions, said, "This acquisition is part of a well-structured M&A strategy to fulfil HCL's aim to be a global leader in select industry verticals by using acquisitions to either bridge gaps or enhance capabilities."

"We see this as a great opportunity for CapitalStream to leverage HCL's global reach and to cross-sell our product portfolio with their multi-service offerings. At the same time, CapitalStream clients gain access to HCL's world-class business process and technology skills and global resources," said Kevin Riegelsberger, CEO, CapitalStream.

The acquisition comes as a part of HCL's transformation journey, focused on creating customer value in the select industry verticals, combining domain depth, innovative multi-service offerings and business models. 

HCL's acquisitions are also reflective of the company's focus on achieving long-term goals and investing in companies and platforms that will create more value in key vertical sectors and micro-vertical.

HCL had last acquired Answercall Direct contact centre in Northern Ireland for Rs 29.39 crore  (Rs 293.9 million) in 2005. The contact centre was acquired by HCL's subsidiary in Northern Ireland, HCL Technologies BPO Service, from receivers, PriceWaterhouseCoopers (PWC).

US BOOST

The acquisition will enhance HCL's ability to provide end-to-end solutions through product and multi-service delivery capability

HCL had bought Answercall Direct in Northern Ireland for Rs 29.39 crore in 2005

CapitalStream clients can now access HCL's world-class business process and technology skills and resources
BS Reporter in New Delhi
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