i-flex in $10 m deal with Chilean bank

MUMBAI: Chile's second-largest bank, Banco de Chile, has selected software designed by Indian firm

i-flex to automate its core retail banking system, according to Bombay Stock Exchange (BSE) news.

An i-flex spokesman said the deal was worth more than $10 million and was due to be completed in six to eight quarters.

A posting on the BSE's Web site, www.bseindia.com, said the i-flex team started work on the project in September 2003 and had completed the initial project groundwork.

The product concerned is i-flex's Flexcube, which helps banks and financial firms automate core operations. It competes with products of Swiss software firm Temenos Britain's Misys Plc.

Mumbai-based i-flex earns the majority of its revenue from software product sales, unlike most Indian software companies that focus on relatively low-risk services billed by the hour.

Citigroup Inc's investment arm owns a 42 percent stake in i-flex. The software company counts Citibank and Japan's Shinsei Bank among its key customers.

i-flex shares were up three percent after the announcement.

© Reuters