| Bangalore, September 13, 2005: Mindteck a $13.7 million
Bangalore headquartered IT services firm, after consolidating
its various group companies in the US, UK, Singapore and the Middle
East, is looking a topline of $20 million by the end of this year.
Speaking to Business Standard, Mindteck CEO, P A Ananthanarayanan
said that the integration will give them the scale and size and
will relieve the firm from various statutory compulsions in different
countries.
Mindteck, which is controlled 78% by Middle East- based TAIB
bank, is also in active discussion with 3 niche software services
firm for acquisitions.
Asked whether, these consolidations are a precursor for TAIB
bank to exit the firm; Narayanan said it is for the investors
to decide their exit strategy but added that this will not be
a good time for exit as there are clear signs of growth in the
company.
“If they exit now, I do not think they would get good
returns as we are starting to generate decent amount of cash now”,
he noted, adding that the firm “ must be seeing
10% margins this year as against marginal profits last year ”,
he said.
The company is also scaling up its manpower to 600 from the current
450 and has outlined a capex of $20 million in the present year.
Mindteck is presently focusing on business applications and embedded
technologies.
The company, which is presently offering technical support as
part of IT Services, is looking at foraying into BPO services.
“There are already some elements of IT support which
we do under our IT Services. We are planning to get into BPO and
we are already talking to a leading bank in the Middle East to
do some back-end processing work”, Ananthanarayanan
added.
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