VisualSoft merges with AppLabs, eSolutions-DVS Raju quits

Our Corporate Bureau
28 October 2005

Hyderabad: IT services provider, Visualsoft Technologies, a testing services company AppLabs Technologies, and Chennai based eSolutions have merged. The combined entity will be called VisualSoft Technologies.

The merger is subject to regulatory approvals from the Indian stock exchanges and the Andhra Pradesh and Tamil Nadu High Courts.

The combined entity will provide software testing, product development and services and will serve more than 400 customers globally and will have over 1800 employees.

Sashi Reddi, a seasoned entrpreneur and business strategist and currently the CEO of Applabs has been appointed the CEO of Visualsoft Technologies while DVS Raju the chairman of VisualSoft has resigned.

According to V Krishnan, the chief financial officer of VisualSoft, "The merger will benefit all the companies. We would be able to provide technology solutions, testing and enterprise services. The combined entity would be able to notch up upwards of $40 million in revenues."

On being questioned about the holding of each company is the combined entity he said, "The modalities are being worked out and we should be able to inform the public about the equity structure of the new company," he said.