MUMBAI, INDIA: After two major acquisitions of Onsite3 and Grail Research in 2009, Integreon, the global provider of knowledge and legal process outsourcing (KPO and LPO) services is not focusing for more acquisitions this year, but is keen on strengthening and integrating the business with better productivity and profits.
“This year we are unlikely to see any acquisitions because this year we are integrating these two (Onsite3 and Gail Research) acquisitions right now. We are improving productivity in the business and making sure that we deliver profitability and improve deliverables. So that is the focus for this year,” Lokendra Tomar, Integreon's COO, Asia Pacific told CyberMedia News in Mumbai.
“But as you know, you cannot rule anything in modern time. However, acquisition is not the focus for us this year. Focus for this year is organic growth, profitability and improving productivity,” Tomar added.
According to Tomar, acquisitions basically happen for two or three reasons. “One, either you want to acquire a capability which you don't have in-house or can't build so quickly in a better fashion. Or you are getting access to market opportunities - clients and geographies - basically which you don't have access to,” he explained.
“Basically we have filled up those gaps in our business models right now. So we are not actively looking forward to acquisitions this year and we are simply focused on organic growth this year,” Tomar stressed.
Early this year, Actis, a private equity specialist, had invested US$ 50 million and acquired about 30 per cent stake in Integreon. The company had closed its financial year 2009 (Jan to Dec 2009) with revenues of US$ 80 million compared to US$ 35 million in the 2008 fiscal.
Globally, it has 2000 headcount spread across locations including the US, UK, South Africa, China and India. About 1200 employees are based in India, which counts about 60 per cent of its total staff strength.