The Hindu Business Line : Aviva renews outsourcing contract with EXL in Noida

New Delhi, July 11 Nasdaq-listed BPO firm, ExlService Holdings Inc, on Friday announced that insurance giant Aviva has renewed its outsourcing contract with EXL for services from the latter’s Noida facility up to January 2012. The existing Noida contract with Aviva is in effect until July 2009, and the annual revenue realisation is close to $18 million.

The announcement comes close on the heels of Aviva selling its offshore business process operations (Aviva Global Services AGS) to WNS for $228 million. “Aviva has also provided notice to EXL with respect to the exercise of the Build Operate Transfer (BOT) contract currently in place with EXL in Pune. The anticipated date of transfer of the Pune operations for Aviva is expected to be around August 9, 2008,” an EXL statement said here.

Aviva is consolidating its captive operations and BOT contracts after conducting the commercial process for the sale of the assets.

Commenting on the renewal of contract, Ms Cathryn Riley, Chief Operating Officer of Aviva, said, “Extending the Noida contract makes absolute sense to us as we continue to enjoy the mutual benefit from Aviva’s relationship with EXL.”

Mr Rohit Kapoor, President and Chief Executive Officer of EXL, said the extension of the Noida outsourcing contract indicated that EXL’s focus on service quality in the insurance domain remained valuable to its partners. “While we were ultimately not the successful bidder to acquire Aviva’s consolidated BPO operations, we believe that our disciplined approach to this bidding process ultimately created a positive outcome for EXL that is in the best interests of our shareholders. EXL’s balance sheet position is strong and with significantly improved customer diversification we will continue to focus our efforts on the growth of new and existing clients.”

EXL will announce financial results for the second quarter ending June 30, 2008 on August 6.

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