Wipro Infotech, the IT division of the Rs 107 billion Wipro, has announced a joint venture agreement with the Dar al Riyadh group of Saudi Arabia.
Wipro Infotech President Suresh Vaswani said, "The JV is a strategic move by both partners and demonstrates our commitment to invest in the Saudi Arabian IT services market."
Wipro will hold 66 per cent in the venture, which will be named Wipro Arabia Limited. It will offer a comprehensive range of IT solutions, including application development and management, package implementation services and system integration services.
Prince Turki A Abdulrahman, CEO, Dar Al Riyadh group said, "We are excited about the JV. This opens up significant business opportunities for the JV in the Saudi Arabia IT services market."
The Saudi Arabian company has business interests ranging from engineering services to industrial products, from systems to integration and information technology. Wipro has had a five-year relationship with this firm as a partner prior to this JV.
Last year, Wipro Infotech reported $20 million in sales (in the Saudi Arabian market) and has reported around the same number for the last nine months of the current fiscal. About 300 people will get employed through this JV.
The Saudi Arabian market constitutes around 80 per cent of the total West Asian market for Wipro Infotech.
Through the JV, the customers will have access to Wipro's portfolio of IT solutions customised for their business needs through a strong local engagement model, Vaswani said.
The venture also provides a scalable and operationally efficient model for both partners to address the fast emerging segments in Saudi Arabia's IT services market.
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