TVS-E buys out Fugen

CHENNAI: Chennai-based Fugen Information Technology Ltd will now be a fully owned subsidiary of the TVS Electronics Group.

According to information available with CNS, Fugen founder President and CEO, S. Premkumar, has sold his equity to TVS-E Group cluster, which had not only incubated the company but also had a major stake in it. The deal ensures that Fugen becomes a 100 percent subsidiary of TVS-E Group.

Talking to CNS, Premkumar said that the TVS-E Group saw a significant synergy with the solutions and competencies of Fugen, with its products and solutions business. "The agreement would help Fugen to leverage the fiscal strength and national sales and service reach of TVS-E. In line with this structural change, I have opted to pursue an alternative outside of Fugen after a brief sabbatical," he said.

According to Premkumar, Fugen had reached a stage where scaling up of operations had become imperative. "And TVS-E is ready for investment," he said adding that, "If Fugen had to be made a 100 percent subsidiary of TVS-E, it was important that I sell away my equity to the company." He, however, declined to divulge details of the deal.

Fugen focuses on providing end-to-end CRM and SFA solutions to its clients right from strategy development to application deployment.

(CNS)