Wipro acquires US-based Viteos Group for $130 Million
The third largest software exporter in India strengthened its inroads in banking and financial industry by acquiring the United States business process-as-a-service provider
Wipro, the Indian well-known technology company has agreed to acquire a back-office outsourcing firm Viteos Group for $130 Million. The two parties agreed to complete the acquisition by March 2016.
Viteos was established in 2003 and is headquartered in New Jersey, United States. Viteos Group operates in Business Process-as-a-service segment and provides its services to alternative investment management industry. The company focuses in Platform led Transformation and utility based services in know your customer, reconciliation, asset serving, syndicated loans to name few. Presently, Viteos has 400 employees on a roll and has the presence across major markets such as the United States, Asia, and Europe.
By this acquisition, Wipro strategizes to make further penetration in banking and financial industry, an industry where it lags behind from its peers such as Infosys and Tata Consulting Services.
The current investment strategy of Wipro financial division focuses on industry vertical platforms which provide platform-based services in transaction-based pricing models. The acquisition move by Wipro is to expand its capital market portfolio in fund accounting services and boost its business process services capabilities.
TechSci Research believes that the acquisition by Wipro enhances its share in the capital market domain. Further, Wipro can leverage the leadership and domain knowledge pass on by Viteos and also bring in nonlinear and higher revenue realization.
The recent report published by TechSci Research on cloud computing market, “India Cloud Computing Market Forecast and Opportunities, 2020” depicts that the adoption of cloud-as-a-services (SaaS, PaaS, IaaS, BPaaS) is gaining traction in the Indian as well as Global markets. Also, the service vendors are devising innovative solutions and pricing models to cater to a wider customer segment.