Baring Private Equity backed Mphasis Limited, a Bangalore based IT and BPO company, is acquiring AIG Systems Solutions Pvt Ltd (AIGSS), an India captive back office arm of the insurance major, American International Group (AIG).
With this acquisition, Mphasis strengthens its portfolio in financial services and insurance (FSI) verticals, said a press statement. It will allow Mphasis to offer industry specific solutions to its customers. The FSI segment contributes around 39% to Mphasis’ total revenue. With the acquisition, around 800 employees of AIGSS will join Mphasis, which currently has 33,000 employees worldwide.
Ganesh Ayyar, CEO, Mphasis stated that the acquisition further strengthens its presence in the insurance segment. “Post the acquisition, the company will be able to add greater value to its existing clients and wil leverage the opportunity to add more clients,” said Ayyar.
AIGSS is an India based company and part of American International Group. It provides IT services and solutions to AIG companies worldwide. Its services include application development and maintenance, application implementation, testing, product development and support services.
Mphasis Limited was formed in June 2000 after the merger of the US based IT consulting company Mphasis Corporation and the Indian IT services company BFL Software Limited. In June 2006 Electronic Data Systems (EDS) purchased a controlling stake in the company (52%) for $380 million and now operates as an independent EDS unit.