Calsoft buys WebSpectrum for Rs 2.2 cr

CHENNAI: California Software Company Ltd (Calsoft), based in Chennai, has signed an MOU to acquire 100 percent equity of WebSpectrum Software Pvt Ltd, a Bangalore-based services and product company, for Rs 2.2 crore.

"With this acquisition, Calsoft will strengthen its technology solutions division, besides expanding the operation to Bangalore. Further, this acquisition would help deliver more value to the customers, broaden the existing customer base and realize a better overall return," said Calsoft COO, Dr JK Nair.

The acquisition has come in terms of 25 percent cash and 75 percent performance spread over a period of three years. The product development work would be taken care of by WebSpectrum in Bangalore.



Raising the manpower to around 450 now, Calsoft has plans to enhance the Bangalore facility to accommodate over 100 engineers by the end of 2005. "WebSpectrum's products and technologies would greatly enhance the value proposition to Calsoft customers," Nair added.

Besides acquiring 100 percent equity of WebSpectrum, Calsoft had also acquired 51 percent equity of Cochin-based system integrator company, Team Frontline, recently. "More acquisitions are in line and is expected to happen within India and also across borders," Nair informed.

WebSpectrum focuses on network management systems and networking products and its customers include Nortel Networks and Symmetricom. "The company's sales in the current year are expected to be around Rs 3 crore as against last year's sales of around Rs 2 crore," said Webspectrum CEO Rathnakumar Kayyar.