India's Essar Group to buy U.S. firm for $250 million

[OhioChick]

Mon Aug 4, 2008 10:04am EDT

NEW DELHI (Reuters) - A back-office unit of India's Essar Group has agreed to buy Los Angeles-based PeopleSupport Inc (PSPT.O: Quote, Profile, Research, Stock Buzz) for about $250 million in an all-cash transaction, enabling the Indian firm to tap fast-growing new outsourcing markets.

Aparup Sengupta, CEO of the Essar firm, Aegis BPO, told reporters in a conference call the combined entity saw revenue of about $500 million in the first full fiscal year to March 2010, up from the Indian firm's annual revenue of about $320 million.

PeopleSupport, with delivery centers in the Philippines and Costa Rica, will give Aegis access to the southeast Asian nation, which has attracted Indian back-office firms battling higher wages, expensive property and a stronger rupee.

"We didn't have a Philippines presence," Sengupta said. "It is very complimentary to what we do in terms of geographic presence," he said, adding the acquisition would expand its services portfolio to include travel and transportation.

http://www.reuters.com/article/mergersNews/idUSDEL28464220080804

Indian companies are buying U.S. companies like crazy lately....not good.

[ihavenobias]

1. If only I could convince them to buy something from me for 1 MILLION

I'd be set!

:)

[AdHocSolver]

2. Corporate execs have been selling U.S. assets like crazy to shore up stock prices...

until the execs can sell their stock options before the company stock collapses.