Indian IT major Wipro has acquired New Jersey based outsourcing company Infocrossing Inc. for $600 million. Some however say the deal size is 450-500 million. Why this Wipeo-Infocrossing deal seems has heralded a new era of big acqusitions? Firslty, in an all cash deal Wipro has paid Infocrossing USD 18.7 per share. Secondly, this aqcqusition is the largest ever by an Indian technology firm. Now it will be intersting to see how Infocrossing spruces up Wipro’s bottomline in the long run given that Rupee is getting stronger. Chief financial officer at Wipro, Suresh Senapathy, feels that will add to profits from the day one itself and help in an expansion of margins.
Hmm...nice comment…well, expansion of margins may come at some later stage, but surely, since the whole of Infocrossing has been sold off, their profits have automatically become Wipro’s profit from day one. The CFO is right :-)
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