Comments
Staffing firm TeamLease Services Ltd has signed a definitive agreement to acquire NichePro Technologies Pvt Ltd for an enterprise value of up to Rs 29.5 crore.
Bengaluru-headquartered NichePro offers IT staffing solutions to various IT product companies with over 150 associates and 30 core employees as of date. It is also a staffing provider to multinational companies and niche product companies.
“This acquisition helps us to tap into the niche IT staffing for product companies and complements our recent acquisition of ASAP Info Systems which caters to IT services companies. The use of staffing by IT companies is increasing rapidly as they accelerate their productivity focus and look to variablise costs,” said Ashok Reddy, Managing Director & co-Founder, TeamLease Services.
The acquisition, which is through its wholly owned subsidiary TeamLease Staffing Services Pvt Ltd, is subject to customary closing conditions and regulatory approvals, the company said in a statement.
The transaction, which will be immediately accretive to TeamLease’s earnings per share, will be financed through existing financial resources and is expected to close before the end of October 2016.
NichePro Technologies posted revenue of about Rs 26 crore from staffing services with an EBITDA of about Rs 6.8 crore in FY2016.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.