Hinduja Global buys Canadian firm for Rs 350 cr

Business process outsourcing firm Hinduja Global Solutions today said it had acquired Canada-based customer relationship management company On-Line Support Inc (OLS) at an enterprise value of Rs 350 crore (75 million Canadian dollars) in an all-cash deal.

The acquisition has been made through its wholly owned US subsidiary HGS Inc, Hinduja Global Solutions said in a filing to the Bombay Stock Exchange.

This acquisition presents both companies with opportunities to cross-sell and up-sell to their existing clients, it added.

The CEO and the senior management team of OLS will continue in their current roles after the acquisition.

OLS is a leading contact centre provider servicing marquee customers across verticals such as media, telecom, technology and BFSI. OLS offers technical support, inbound and outbound sales, customer care and customer retention in English and French languages and has over 1,650 seats at 10 sites in Canada.

In FY11, it posted a turnover of 63.4 million Canadian dollars and currently has about 1,800 employees.

With this acquisition, the consolidated annual revenues of HGS will cross $300 million on a run rate basis. HGS now has a presence in 42 delivery centres across the USA, India, Philippines, Canada, Mauritius and the UK, with offerings in more than 25 different languages.

Following the acquisition, HGS's staff strength would be about 21,300 employees worldwide.

Shares of Hinduja Global Solutions were trading at Rs 357 on the BSE, up 2.54% from their previous close.