Under the terms of the deal, Edison, New Jersey-based Intelligroup will sell its Australian, New Zealand, Singapore, Hong Kong and Indonesian operations to Singapore-based Soltius, which is a subsidiary of Jakarta, Indonesia-based SDI Technologies Group, for an undisclosed sum. Soltius is already a partner for Intelligroup in the Indonesian market, and through the acquisition, the company will now take a 5% stake in the business.
The Asia-Pacific operations being bought include $4.7m in receivables for Soltius, and Intelligroup will receive $650,000 in cash over the next 12 months in return for Soltius having access to Intelligroup’s tools and offshore support services. During 2002, the Asia-Pacific operations made revenue of $7m but had operating costs of $7.9m, and Intelligroup expects to take a charge of $1.7m this year to cover the sale.
Source: Computerwire
