HYDERABAD: Hyderabad-based Infotech Enterprises plans to expand its
operations globally by taking the acquisition route. Currently, the company is
in talks with at least two GIS software companies in the US. "We see
acquisition as part of our strategy to strengthen our GIS portfolio," said
Infotech Enterprises CEO and managing director B V R Mohan Reddy.
The company is working closely with Merrill Lynch to study the US market.
"We are hopeful of clinching the deal sometime early next year," said
Mohan Reddy. Infotech Enterprises has well defined plans for its overseas
operations. The London headquartered Infotech Enterprises Europe would take care
of the GIS market in Europe while Advanced Graphics Software, a recent
acquisition, would strengthen its presence in the engineering space. "At
present, we are not looking at incubating companies but the possibility is not
ruled out. And, we may go for the incubator model one or two years down the
line. We would consolidate the strengths of these companies through more
acquisitions," added Mohan Reddy.
Recently, the company won a large GIS services order from the Dutch
multinational group, FUGRO. The project involves building a GIS database
covering multiple utilities in the telecom, power, gas and water sectors for
NUON, one of the largest utilities in the Netherlands. The project is being
implemented using SmallWorld, a GIS software. The company generated revenues of
Rs 23.34 crore and a profit of Rs 6.69 crore for the first half of 2000-01.