i-flex plans acquisitions in US, Europe

i-flex solutions is scouting for acquisitions in the European and the US markets, mainly in the banking verticals.

The software major has shortlisted a couple of companies in the vertical, while negotiations are yet to begin.

"i-flex is looking at acquiring a major company that has processes in the banking solution vertical and in Europe and the US. This will increase its market access to other regions and make these countries gateways for its foreign operations," a source close to the development told Business Standard.

A senior executive of the company declined to comment on the plan. The company is looking at taking over firms which hold intellectual property rights (IPR) in banking product solutions. i-flex is also looking at West Asia for acquisition, which will help in extending its reach in that part of the world, he said.

The core banking solutions (CBS) provider was also looking at increasing its competence in the insurance sphere by acquiring companies in insurance and reinsurance verticals.

Earlier, it had acquired 73 per cent stake in Castek Software, a Canadian property and casualty insurance solutions firm.

Pursuant to the acquisition, the company had also bagged a three-year, multi-million dollar deal from the US. i-flex had also undertaken a banking and insurance deal for Canara Bank.

Meanwhile, the company is in the process of acquiring land and setting up infrastructure in Pune, Chennai, Bangalore, Mumbai and other parts of Maharashtra.

"The company has earmarked Rs 150 crore as capital expenditure for setting up IT-related infrastructure. The company has already completed setting up huge infrastructure at Pune," a source said.