UK's Serco to buy Indian BPO Intelenet for Rs2,772 crore

British services and consulting company Serco has signed a deal to buy Indian business process outsourcing (BPO) firm Intelenet Global Services Private Limited for up to £385 million (Rs2,772 crore) as it seeks a bigger share of high-growth overseas markets, the company announced today.

Under the share purchase agreement between Serco (itself essentially a BPO firm), the total acquisition cost includes assumption of existing debt, including contingent cash payments of up to £50 million (Rs360 crore) through December 2013.

"The acquisition of Intelenet supports our ambitions as a leading global service company.  The international BPO market is growing quickly as companies seek out new ways to improve their service and reduce costs," Chris Hyman, chief executive of Serco, said in a statement from London.

He said the company which wants to bolster its international businesses after recent strong growth, adding that the deal would provide access to markets that are forecast to grow by around 15 per cent per year in the medium term.

"The international BPO market is growing quickly as companies seek out new ways to improve their service and reduce costs," Hyman said in a statement on Tuesday.

Mumbai-based Intelenet provides outsourcing services such as accounting for private sector companies in India and internationally. It operates in seven countries, working mainly in the financial services, travel, healthcare and telecom sectors.