Hyderabad-based IT consulting and software services firm Kellton Tech Solutions Ltd has acquired US-based ProSoft Group, an enterprise solutions and business integration provider, for an undisclosed amount, according to a stock market disclosure.
The acquisition will help Kellton strengthen its capabilities in enterprise resource planning (ERP) and enterprise application integration (EAI) and reinforce its expertise in WSMAC (web, social, mobile, analytic and cloud), IoT and other technologies.
Established in 1995 by Raj Gupta, ProSoft Group provides enterprise resource planning, business process management, business integration services, service oriented architecture, business activity monitoring, enterprise portals and cloud solutions in retail, manufacturing and financial sectors.
The company's customer portfolio includes JPMorgan, J. Crew, Discount Tire, Johnson & Johnson and Nike.
"We found a strategic fit in ProSoft which will give our capabilities a stronger platform to pursue growth opportunities," said Karanjit Singh, CEO, Kellton.
Downers Grove, Illinois-based ProSoft Group comprises four companies—ProSoft Technology Group Inc, Intellipeople Inc, Cyber-World Solutions Inc and ProSoft Business Solutions LLC. The company has a development centre at Hyderabad.
"Pairing with Kellton Tech will advance our ability to innovate and enhance the value proposition ProSoft delivers to clients," said Raj Gupta.
Founded in 1993, Hyderabad-headquartered Kellton Tech provides IT solutions, technology consulting and offshore product development services. The company's technological solutions and services include product conceptualisation, creative and user design, quality assurance and testing, deployment, hosting and migration as well as maintenance and support.
This is the first acquisition by Kellton this year, Last year, it acquired three companies including MCS Global Inc, Vivos Professional Services LLC and eVantage Solutions Inc, according to VCCEdge, the data research platform of VCCircle.
Kellton has offices in Hyderabad and Gurgaon in India, and Virginia and New Jersey in the US. It expects to post revenues of Rs 500 crore by August 2016.
ProSoft Group will add over Rs 250 crore ($40 million) to the top-line and about Rs 19 crore ($3 million) as EBITDA to Kellton Tech's balance sheet, it said on Monday.
Kellton Tech Solutions' scrip closed at Rs 82.25 per share, up 4.11 per cent on BSE in a stock Mumbai market on Monday.