MphasiS buys US-based Fortify Infrastructure Services
Leading Indian IT, BPO and application service providing firm MphasiS Limited is all set to acquire US-based Fortify Infrastructure Services Inc. In fact, the US offshore remote IT operations and management services company already has business in India with its command center located in Pune.
According to a report published in a news website, as per the deal, mediated by Avendus Capital, in this regard, MphasiS will be making a forthright payment of $15 and the remaining will be through earnouts or additional compensation afterwards on the basis of the Mphasis attaining specific future financial targets. It has been estimated that the annual proceeds of Fortify Infrastructure Services Inc., a privately owned firm, is about $20 million.
Currently, Fortify Infrastructure Services Inc. offers an assortment of services comprising system and application infrastructure management; data center operation, network monitoring and virtualization as well as security services.
Industry experts are of the view that infrastructure management is fiercely competitive area and is also obviously one of the rapidly developing and extremely accessible businesses in the long-standing IT services participation. Hence, getting hold of an excellent resource in the United States is significant, particularly because there are hardly any good facilities up for sale. MphasiS’ acquisition of Fortify Infrastructure Services Inc. comes close on the heels of the firm buying AIG Systems Solutions Pvt. Ltd. (AIGSS), a satellite back office wing of the insurance giant American International Group (AIG).
A news release issued by the MphasiS, the seventh largest IT and BPO service provider in India, stated that besides new clients, acquiring Fortify Infrastructure Services Inc. would provide the company access to a skilled management panel and a talent pool that included extremely proficient personnel. The acquisition will also enable MphasiS to offer result-based services that surpass technological service level agreements (SLAs). MphasiS CEO Ganesh Ayyar said that while the customers are seeking partners to solve the trials of operating as well as managing their Information Technology, acquisition of Fortify Infrastructure Services Inc. provides the company with the opportunity to offer economical as well as result-oriented remote IT operations and management (ROM) services.