Mphasis BFL will pay $6.8m in cash, and approximately $14m worth of stock for Kshema, and the companies expect to complete the transaction by the end of June 2004.
Kshema offers IT software services to industrial automation, healthcare and life sciences, and financial services sectors. It has been looking for a buyer for 18 months. Mphasis BFL plans to take on all of the company’s 400 employees and Kshema’s CEO Anant Koppar will take over as president of the technology group.
Mphasis BFL was formed by the merger of Santa Monica, California-based Mphasis and Indian offshore company BFL Software Ltd in February 2000. It now has over 6,000 employees and is listed on the Bombay Stock Exchange. Its latest financial results will be announced at the end of this week, but in its most recently reported quarter it made revenue of $31m.
Last year Mphasis BFL was rumored to be a takeover target of IBM Global Services, but denied it had been approached.
This article is based on material originally published by ComputerWire
