Datamatics Technologies buys out US-based CorPay Solutions
By Our Convergence Bureau | 15 Oct 2003
CorPay is a $13-million company specialising in finance and accounting (F&A) BPO services. The acquisition has been funded through internal accruals. With the acquisition of CorPay, Datamatics has emerged as the largest third-party pure-play BPO player in the country with revenues in excess of Rs 150 crore.
Says Datamatics Technologies managing director and CEO Manish Modi: "CorPay has a 30-year track record in the F&A BPO space with a blue-chip clientele. Five of its customers are Fortune 100 companies and many of their customers have existing relationships exceeding a decade."
The synergies of the combined organisations will open numerous opportunities and create a compelling business proposition to its existing client base and markets, he adds. "All these clients who were until recently unable to reap the offshore benefits due to CorPay's US operations will now gain value emerging from our India operations. With this we will further strengthen our presence in the US F&A outsourcing space and the combined operations will help accelerate and retain leadership position in the global market."
Says Datamatics Technologies chairman Dr Lalit Kanodia: "We are buoyed and elated with this acquisition and are looking forward to welcome all the members of CorPay into the Datamatics family. Our focus will be to create market driven strategies and innovative value-added solutions designed to enhance customer value, which will establish and maintain long term mutually beneficial relationship with customers."
Says CorPay Solutions CEO Barry Lemay: "CorPay has a reputation of providing quality services, maintaining long-term customer relationships and providing a value-added proposition to its customers. In order to retain its leadership position in the marketplace, the senior management team at CorPay recognised that providing additional services, combined with enhanced technology and an offshore service offering were critical components to meeting and exceeding customer needs in this competitive business environment.
"We are proud and excited about joining the Datamatics group. Datamatics offers CorPay the opportunity to expand its services while offering additional technology expertise and a proven offshore solution in the BPO market place.
"We were very careful in our analysis of potential partners to identify a company that was notably driven by quality services, integrity and customer focus. Another important factor to CorPay and its customers was to associate with an established organisation of substance. After meeting with Datamatics it became very clear that the synergies of the two organisations will create a very compelling business proposition for the future."
"Datamatics's acquisition of CorPay is perhaps the largest cross-border deal by an Indian BPO company in the transaction processing space. This acquisition has provided Datamatics the market permission to exploit the rapidly growing F&A BPO opportunities," said Ernst & Young partner Ranjan Biswas.
