CGS to invest $15 million in India

Computer Generated Solutions (CGS) Inc, a Rs 800-crore IT services provider, plans to invest $10 million-$15 million in India in the next one year.

The company plans to invest this amount in both organic and inorganic growth.

"We have around 60 people working in the software development centre in Hyderabad. We intend to increase this number to about 500 in a year-and-a-half. While we will be adding employees at the existing centre, we are looking at acquiring some Indian companies as well," Michael Wilding, senior vice-president, technology solutions and training, CGS, told mediapersons. The company has invested $1 million in India so far.

CGS is looking at acquiring companies that are into software development and have an employee strength of around 400. "We have appointed a couple of consultants to help us in zeroing in on a company," Wilding said.

CGS is also bullish on the Indian market, which contributes about eight per cent to the company's global revenues. Some of the company's global clients are Sun Microsystems, Versace, Ernst & Young and Dell. The solution range of CGS comprises e-Business, networking, enterprise resource planning, sales force automation, help desk consulting and e-Learning among others.

The company is betting big on the mid-size companies in North America for business. These come in the revenue range of $250 million to $3 billion. "We believe that the Indian centre can contribute substantially to our growth in this market," Wilding said.

CGS also had a centre in Bangalore, which is no longer operational. "We decided to consolidate our operations in Hyderabad," he added.

BS story on CGS' development centre in Hyd.