Aricent buys US firm in global market quest
Aricent says it would acquire US-based service firm DataLinx for about $30 million to enable it to crack the American market, reports Narayanan Madhavan.business Updated: Sep 13, 2007 22:30 IST
Aricent, a global telecom software firm founded in Gurgaon as Hughes Software Systems, said on Thursday that it would acquire US-based service firm DataLinx for about $30 million to enable it to crack the American market and target telecom service providers (TSPs) as a significant client segment.
The company is now on an aggressive global expansion spree in targeting service providers, going beyond its past focus on Europe and other parts of the world and mainly serving equipment makers such as Nokia and Motorola.
Sanjay Dhawan, Aricent's chief strategy officer, told
that DataLinx has about 400 consultants, all based in the United States and having specialist competencies, which would help the company zero in on the local market.
"We certainly want to expand our TSP customer base in the US," Dhawan said.
Dhawan said the company's revenues, expected in the current fiscal year to be about $400 million, were growing at about 30 per cent.
Aricent has 7,500 employees in 15 locations and about 5,000 of them are in India.
The company, delisted from Indian stock exchanges, is now controlled by private equity firms Kohlberg Kravis Roberts, Sequoia Capital and Singapore-based Flextronics International, which had acquired Hughes Software before hiving off control investors.
As part of its strategic expansion, in the past year Aricent has launched new development centers in China and the United Kingdom while expanding its existing centers in India and Ukraine.
First Published: Sep 13, 2007 22:25 IST