Allsec plans to invest Rs 30-50 cr

Allsec Technologies Ltd, a Business Process Outsourcing (BPO) and IT-enabled service provider headquartered in Chennai, is planning to invest around Rs 50 crore during the present fiscal on developing business opportunities.

The company also said that it would look at organic and inorganic routes for its growth in Western parts of the World.

Bala V Balachandran, chairman, Allsec Technologies said that the company has enough cash to support the proposed investment in marketing to bring in new customers and adding human resource.

We are planning to invest around Rs 30-50 crore this year to increase business opportunities, he said. The company expected to add more 500 people in India during the current fiscal. At present, it has around 8000 employees working in its facilities both in India and overeas.

Recently the company set up a new 100-seater facility in the US and expect to complete recruitment for the facility in the next three months. Allsec Technologies has clocked a total revenue of Rs 145.1 crore during the fiscal ended March 31, 2011, of which around 40 per cent contributed by India.

The company is planning to increase this to 50 per cent, while the result would come from markets like US and Europe.

As part of the its inorganic growth, the company is looking at opportunities in US, which would help the company to get local benefits and also customers.

It may be noted, last fiscal the company acquired Retreat Capital Management Inc, USA, a default management solution company that offers outsourcing services designed to assist lenders, mortgage services and other institutions.

The company has acquired 66 per cent of the share capital form the promoter for cash. The total transaction estimated to be around Rs 9.9 crore.

The company posted a net loss of Rs 7.77 crore during the first quarter of 2011-12, compared to the net loss of Rs 2 crore during the same period of previous fiscal. The total income stood at Rs 37.39 crore for the three months ended June 30, 2011, as against Rs 38.33 crore in the corresponding period of last fiscal, a decrease of 2.45 per cent.