Mahindra-BT buys Axes for $54-m

BANGALORE: Telecom solutions provider Mahindra-British Telecom (MBT), today announced its acquisition of Texas-based Axes Technologies for $54 million in an all-cash deal.

With this, MBT has expanded its portfolio of offerings to include Telecom Expense Management (TEM) services.

“This acquisition is complementary to MBT's presence and capabilities in the telecom service provider space,” said Vineet Nayyar, MD and CEO, MBT.

At present, Axes Technologies employs around 850 employees and has development center in Bangalore and Chennai, while MBT has centers in Pune and Mumbai.

Nayyar said that the combined strength of both companies is around 8500 and would touch 10,000 soon.

As part of the buy-out, MBT will integrate all Axes facilities, clients and employees.

Axes is expected to close its revenues this fiscal at $30 million and the combined revenues of both MBT and Axes is $280 million. Nayyar added that the company's non-British Telecom revenues had grown 100 per cent.

He said that the company plans to get into the area of R&D services and product engineering services. Regarding MBT's public issue, he said, “ We will definitely go for an IPO. This decision will be based on market conditions and timing.”