• Investment World
• eWorld
• Brand Line
• Mentor
• Life
• Canvas
• Praxis
• Urban Pulse
• Brand Quest
• The New Manager

Stocks

• Quotes
• SE Diary
• Scoreboard
• Open-End Mutual Fund

Cross Currency

• Rates
  
  

Shipping

• Ports
  
  

Archives

• Yesterday
• Datewise
• Resources
• In Focus
• In Depth

Group Sites

• The Hindu
• Business Line
• Sportstar
• Frontline
• The Hindu eBooks
• The Hindu Images

Vishwanath Kulkarni

Likely to acquire two firms in US and Europe

Bangalore , Aug. 6

In a bid to strengthen and expand its domain capabilities in the product engineering space, Patni Computer Systems Ltd plans to acquire a couple of companies in the near future.

"We are looking at acquiring small and medium sized companies in areas of storage, automotive, CAD/CAM and telecom among others," said Mr Ajay Chamania, Senior Vice-President (Product Engineering Services), Patni Computer Systems Ltd.

Patni has short-listed about six firms in the US and Europe and expects to acquire at least two of them in the next two to three months, Mr Chamania said, adding "the buy-outs would be mainly to augment our domain expertise and skillsets."

ZAiQ Tech buy

Patni recently acquired the US-based ZAiQ Technologies, a design and verification firm, through which it acquired application specific integrated circuit (ASIC) design capabilities and intellectual property (IP). The addition of ZAiQ will enable Patni to meet the growing demand for ASIC-based services in vertical markets. The four-year-old product engineering services division, with over 1,600 engineers, is the fastest growing business and accounts for about 10 per cent of the company's revenues, he said.

"We have been doubling our growth both in terms of revenues and headcount over the past three years and expect to sustain this growth momentum for the next two to three years," Mr Chamania said.

Patni's product engineering services division currently focuses on verticals such as medical electronics, industrial automation, storage, consumer electronics and the automotive segment. "We are also planning to get into the telecom vertical, especially in the hardware design side of the business soon," Mr Chamania added.

For the quarter-ended June, Patni reported a net loss of Rs 14.69 crore on revenues of Rs 656.06 crore as compared to a net profit of Rs 62.14 crore on revenues of Rs 473.02 crore in the corresponding quarter last year.

More Stories on : Mergers & Acquisitions | Software

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Talent crunch may dim KPO sector prospects

Copyright © 2006, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line