Infy terms Capco acquisition report a rumour

BANGALORE: Infosys today denied reports that it was in talks to acquire US IT

consulting firm Capco.

“Infosys is constantly on the look out for acquisitions for strategic

reasons. As a policy, we do not comment on unfounded market rumors,” the

Indian IT major said in a statement.

A leading business daily had published a report quoting market sources that

Infosys was in talks to buy Capco for about $200 million.

"Infosys is at an advanced stage of carrying out due diligence on Capco,"

the report said.

Infosys, with a cash reserve of around $1 billion, has been conservative on

the M&A front, compared to rival Wipro Technologies, which had acquired four

companies in the last six months.

Infy's last acquisition was in 2003, when it bought Australian firm Expert

for $23 million in 2003.

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