Posiflex Technology Inc, a Taiwan-based hardware solution provider for point of sale (POS), has acquired 51% stake in Protocol Solutions Pvt Ltd for an undisclosed sum. Protocol Solutions is a Bangalore-based hardware distributor which offers retail POS and industrial automation solutions in India.
Posiflex Technology will invest another $10 million over the next 3-5 years in setting up an R&D team and strengthen marketing and channel partners, besides starting an assembly line, said a company statement. Posiflex Technology stated that the acquisition of Protocol will help it shorten the lead time of product delivery, and provide value added services to its customers.
Owen Chen, CEO, Posiflex Technology said, with hundreds of malls coming up, the retail sector is expected to invest around $500 million in retail technology service solutions in the current financial year, that could go further up to $1.26 billion in the next four to five years. “We see tremendous potential in the Indian retail market and it is an important strategic milestone for us to have a direct presence in India,” added Chen.
The company also intends to enter the huge untapped unorganised retail market in India. Posiflex offers services in several verticals in retail including hospitality, retail, entertainment, logistics, manufacturing, banking and information services.
Protocol’s clientele includes auto majors like Ford India, Hindustan Motors, Ashok Leyland. In retail space, it offers services to Shopper Stop, KFC, HyperCity, Spar Hypermarket, Subway, Costa Coffee, Café Coffee Day, Arvind Brands, Peter England and Lifestyle.