Mumbai, Apr 29 (UNI) 3i Infotech, a global information technology company, today announced that it has signed an agreement to acquire US-based Regulus Group LLC (Regulus).
Regulus is the largest independent remittance provider and one of the leading providers of document (bills) processing services in the US. Under the terms of agreement, 3i Infotech has proposed to acquire 100 per cent of Regulus, including the company's products, trademarks and product brands. The acquisition will provide 3i Infotech significant cross-selling opportunities.
3i Infotech Managing Director and CEO V Srinivasan told newsmen here today that ''The acquisition of Regulus Group is a strategic one and will enable 3i Infotech to strengthen its positioning in the payment processing industry.'' Meanwhile, Regulus Group President and COO Kathleen Hamburger said ''We believe that through this partnership we will be able to expand Regulus' solutions globally and benefit from 3i Infotech's technology and services experience.'' The cost of the acquisition to 3i Infotech is approximately USD 80 million with additional consideration of up to USD 20 million based on an earn-out linked to certain performance parameters.
Regulus was founded in 1995 as a provider of remittance processing solutions. Today, it is the largest independent bill presentment and remittance processing company, handling more than 2.1 billion paper and electronic transactions annually.
The company processes one in every fifty check payments in the US and produces an estimated one of every 25 consumer statements generated there.
Regulus' blue-chip client base includes one of every three Fortune 50 companies. It has clients in the insurance, finance, telecom, utilities and healthcare sector. The company serves approximately 150 clients through its direct sales force and approximately 85 additional clients generated through reseller partnerships.
Regulus reported revenue of approximately USD 148 million for the 12 months ended December 2007. The cost of the acquisition to 3i Infotech is approximately USD 80 million with additional consideration of up to USD 20 million based on an earn-out linked to certain performance parameters.
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