The Hindu Business Line : Hughes Soft scouts for buys in BPO, telecom space

HUGHES Software Systems has said it is actively scouting for acquisitions in the business process outsourcing (BPO) and telecom service provider (TSP) space.

The company also plans to hire 2,000 professionals in IT services segment in the next six quarters, and another 500-600 people to its BPO operations, Mr Arun Kumar, said here.

Currently, the company has 2,939 employees.

"The biggest challenge is in hiring in a timely manner. This is despite the fact that HSS in terms of brand and the pull factor is amongst the best employer," he added.

Mr Kumar said that Hughes was actively looking at acquisitions. "We are not looking at tiny companies but ones with reasonably critical mass. We have close to $40 million in cash. We will evaluate companies in India and overseas, but the buy-out should make sense in terms of customer traction and synergy to business," he said.

The company had not hired an investment banker to identify suitable buys and instead had a team of 4-5 members for the purpose, he said.

The company evaluated about two opportunities per month, he said but declined to specify a timeframe for the proposed acquisition.

On the issue of H1B visas, Mr Kumar said that given the onsite presence requirement in IT industry, not extending H1B limit would prove to be a hindrance. "We have not been big on onsite but we have recently seen growth in onsite work. Overall, the whole industry is embarking on a delivery model that is global. If H1B cap is not extended then, it is bound to be a hindrance, but one can always hire people locally," he opined.