Electronic Data Systems (EDS), a $21 billion global software services major, has signed a definitive agreement to acquire Bangalore-based software testing firm RelQ Software.RelQ Software is a 700-people strong organisation, with revenues at around $22 million last year. According to industry estimates, the company is expecting to close the fiscal with $30 million in revenues. EDS is understood to have paid around $40 million (around Rs 180 crore) to acquire this firm. No confirmation on this was available from EDS as no financial terms of the transaction were disclosed. UBS advised RelQ on the transaction.According to a statement from EDS, over time, RelQ will be fully integrated into EDS' global testing organisation and will accelerate EDS' global testing capabilities. The transaction is expected to close in May 2007.RelQ is a certified ISO 9001-2000 software testing company-serving clients primarily in the banking, financial services, telecom and consumer electronics industries. "Today's clients are working in a 'self service, always-on world' where their customer-facing business applications must operate with zero outages," Charlie Feld, senior executive vice president (applications services), EDS, said."Having the ability to test and validate such applications is vital to helping clients succeed in today's economy and this acquisition will help us in that endeavour," he added.Prakash Mutalik, president and CEO, RelQ, said:"We are pleased that EDS is acquiring the capabilities of RelQ and its employees to serve the needs of our combined client base."BS Reported it First: EDS may buy RelQ Software
