Wipro, the India-based company that has boomed thanks to IT offshoring by US companies, announced yesterday that it is acquiring New Jersey-based outsourcing firm Infocrossing for some $600 million (£296m).
Infocrossing, which operates five data centres and manages infrastructure and applications for clients such as The Reader’s Digest Association, has about 900 employees and was established more than 20 years ago.
Wipro has grown from 13,500 employees in 2003 to more than 72,000 today. Its purchase of Infocrossing is its largest acquisition to date.
Zach Lonstein, CEO and chairman of Infocrossing, said the firm’s customers “can expect continuity of continued service, as the management team is staying intact”. He said the purchase by Wipro will give Infocrossing customers the “extended capabilities” of Wipro.
Infocrossing is an infrastructure services provider that also offers enterprise application and business process outsourcing. It has a particular focus in the health care area.
Analyst group Ovum said the move by Wipro "demonstrates the elevated boldness of the Indian firms to make much more aggressive moves that will deliver step increases in capability, resources and client credibility in these service lines."