In talks for stake in Bahrain co
Chennai, Nov. 8
Accel Frontline Ltd is close to acquiring a Chennai based IT services company. It is also in an advanced stage of picking up majority stake in a Bahrain based company, according to its chairman and CEO, Mr N.R. Panicker.
Declining to name the company and provide financial details, Mr Panicker said the acquisition of the Chennai company, which has presence in West Asia, would happen in a month and help Accel get additional revenue of around Rs 15 crore. It would also help Accel have a larger presence in West Asia.
The acquisition of the Bahrain company would bring additional revenue of Rs 30 crore and Accel would use Bahrain as a base to penetrate other markets, including Qatar, Saudi Arabia and Kuwait, he told presspersons in an informal meeting.
Accel, a Chennai based IT infrastructure solutions and services company, raised Rs 42 crore from a recent public issue. It reported a net profit of Rs 3.17 crore for the quarter ended September 30, 2006 compared with a net profit of Rs 2.01 crore for the same quarter last year. Revenue increased to Rs 46.75 crore (Rs 40.02 crore), he said.
For fiscal ending March 2007, the company expects to report net profit of Rs 15 crore on revenue of Rs 215 crore. For the fiscal ended March 2006, the company reported a net profit of Rs 8.99 crore on revenue of Rs 170 crore, he said.