Prithvi launches FCCB issue worth USD 70 mn to fund acquisitions

Mumbai, Aug 31 (UNI) Prithvi Information Solutions has lined up 4-6 overseas acquisitions of USD 10-20 million each and it will launch a FCCB(foreign currency convertible bonds) issue worth USD 70 million to fund acquisitions.

Announcing this here today, a Prithvi press release quoting its Managing Director Satish Kumar said ''The acquisitions will be made on the rationale of gaining new clients, or of increasing our portfolio of services and processes. This will ensure our growth at a much faster pace than merely organic growth would have achieved.'' The companies identified for the acquisition by Prithvi will have their marketing base in the US, but will have facilities for operations in India, he added.

In the recently released results for the first quarter ended June 30, 2006, Prithvi Information Solutions saw operating margins at 11 per cent, and the company expects this to increase to 15 per cent by FY07 and 18 per cent to FY08.

With the company's European business growing very well, Prithvi will focus on its Singapore branch to spearhead the European operations. Up to USD 5-6 million worth business is expected from Europe by the close of this year.

Its Dubai branch will also be operational within a few weeks, to handle networking operations in the Middle East. Prithvi is already in talks with Nokia Middle East, among others.

Currently, it operates in four service sectors namely technology outsourcing, intelligent solutions, process outsourcing and networking. While in technology space it is into projects involving applications development, product development and enterprise solutions and into busniness intelligence, business analysis and business data processing, intelligence solutions space.

In process outsourcing, Prithvi operates in business process and knowledge process outsourcing (BPO&KPO). The network solutions is presently in Telecom space in RF engineering and systems integration for telecom.

In terms of verticals they operate in telecom, life sciences, BFSI, Government projects and start-ups.

Maximising it's reach it operates in strategic locations in the USA, Canada, Netherlands, Singapore, and India, (six offices in the US and one office each in Netherlands and Singapore[1]). Prithvi has built up a roster of 85 global clients of which seventy are active.

UNI SN WD SKB2017