HCL Technologies to acquire Control Point Solutions

BENGALURU, INDIA: HCL Technologies Ltd (HCL) announced signing of an agreement to fully acquire Control Point Solutions (CPS), a provider of voice, data and wireless Telecommunications Expense Management (TEM) services.

Privately held, CPS leads the TEM market with robust platforms catering to both enterprises and carriers across industry verticals. As part of the transaction, HCL will acquire four delivery centers in US with over 200 professionals who come to HCL with domain knowledge and technical expertise.

CPS is being acquired at an enterprise valuation of $20.8 million. This valuation is on cash free and debt free basis.

This acquisition strengthens HCL’s unique advantage of providing multi-service delivery platforms for our customer with CPS’ TEM expertise complementing HCL’s remote infrastructure service offering.

Commenting on the acquisition, Ranjit Narasimhan, President and CEO—BPO Services, HCL Technologies, said, “The strategic acquisition of Control Point Solutions is in line with HCL BPO’s goal to make strategic, platform-based acquisitions which give us sustainable competitive advantage in chosen verticals. This acquisition enhances HCL’s ability to become an end-to-end provider of business process outsourcing services in the attractive TEM space. With this acquisition, HCL becomes the first business process service provider to enter this market. HCL will leverage its existing experience in TEM to further diversify into other geographies and newer areas like utilities, freight, to name a few.”

Bob McMullan, CEO, Control Point Solutions, said, “Over the last year, Control Point Solutions has invested in delivering the most advanced technologies, building new data and service centers, and elevating our customer service to become a leader across the industry. Our decision to join HCL is yet another strategic move aimed at advancing our position in the marketplace.”

Commenting on the acquisition, Anil Chanana, Executive VP—Finance, HCL Technologies, mentioned, “The acquisition of Control Point is in continuation of HCL’s strategy to seek non-linear growth opportunity. This acquisition will further enhance HCL’s presence in F&A BPO space. We are confident of delivering incremental shareholder value through our acquisitions.”