Wipro snaps up European firm for euro 41 mn

Wipro Technologies, the global IT services arm of Wipro Limited, has acquired European retail solutions provider Enabler for ¤41 million in an all-cash deal.

The consideration, apart from the cash transaction, includes earn-outs on achieving agreed financial targets over a period of two years, the company said on Thursday.

"This is the second European acquisition by the company after NewLogic and the largest overseas acquisition in terms of people," said Sudip Banerjee, president (enterprise solutions), Wipro Technologies.

The acquisition would help the company expand its retail presence across Europe by securing Enabler's good customer base.

Portugal-headquartered Enabler had a turnover of ¤30 million in 2005 and employs 310 people at present. Founded in 1997, it is a privately-held company and has delivery centres in Portugal and Brazil.

The company, which is a preferred integrator of Oracle Retail (Retek) solutions and provider of retail consulting services, has customers in Portugal, UK, Germany, France, Spain, Italy, West Asia and Brazil. Banerjee said its delivery facility in Brazil had scope for further expansion.

Sudip Nandy, chief strategy officer, Wipro Technologies, said the company was going to retain the Enabler brand in Europe. "We think it is better for us to continue with the brand for some time," he added.

Antonio Murta, CEO of Enabler, will continue in that position after the acquisition and will be appointed as a senior vice-president with Wipro Technologies.