The Hindu Business Line : i-flex plans mega facilities in Pune, Bangalore

i-flex Solutions is in the process of setting up two mega development facilities in Bangalore and Pune with a capacity to accommodate 10,000 people each.

Mr Deepak Ghaisas, CEO of i-flex's Indian operations and CFO, said that the company will invest over Rs 100 crore in the Pune facility, for which the company has already acquired land.

The initial investments in Bangalore are likely to be lower as "we are yet to decide whether to lease or own the facility. We are awaiting some clarification in the SEZ rules so that we can seek SEZ status for these facilities."

i-flex, majority owned by Oracle Corp, has a total headcount of over 7,000 and operates from different facilities in Bangalore, Pune, and Mumbai.

The company has a product development team of over 2,000 people, while its services division, PrimeSourcing, has over 3,500.

The support services group at i-flex has some 700, and its knowledge process outsourcing (KPO) services division, Equinox, over 600.

Mr Ghaisas said that the over 1.1 million sq ft Bangalore facility is expected to be operational in about eight months from now, while the Pune facility would be ready in a year.

The company expects to earmark a significant portion of its upcoming Pune facility for Equinox, where it sees significant growth in the coming days, Mr Ghaisas said.

Signs up HSBC

HSBC has selected its Flexcube Investor Services software for its transfer agency and investor servicing business.

HSBC's Institutional Fund Services will use the software in six of the 20 countries it operates across Asia and West Asia, to reduce cost and improve the customer service for the mutual fund investors, said Mr Ghaisas.

"It's a good entry for us into the HSBC account," he added, but refused to disclose the deal size.

The company expects a steady revenue stream from HSBC for about five years, mainly in the form of annuity, as it expects to offer maintenance and support services for the bank, he said.

i-flex shares closed four per cent higher at Rs 977.35 on Monday at the BSE.