Call centre firm Allsec Technologies plans IPO

Allsec Technologies Ltd (Allsec), a call centre services provider, plans to raise Rs 60 crore from an initial public offering (IPO) for its expansion and acquisition plans. This makes it the first third party voice-based Indian company to go for an IPO.

"We will increase the number of employees from 700 to 1,700 in the financial year 2005-06. We are also looking at an acquisition target in the financial BPO services space," said Adi Saravanan, founder and president, Allsec.

IL&FS and Kotak Mahindra will be the lead book runners for the 100 per cent book building issue. Allsec started as a 100-seat call centre in February 2000.

"There maybe a spread in geography as well in the near future within India," added Saravanan.

It will file a prospectus with the Securities and Exchange Board of India in two days time-the IPO is expected to hit the market in April, 2005.

The company which operates out of three facilities that total to 60,000 sq ft will add on another 75,000 sq ft. In 2003-04, Allsec registered revenues of Rs 28 crore and expects to notch up a turnover of Rs 42 crore in 2004-05.

"Out net profit is about 20 per cent of our topline," remarked Saravanan. Kotak Mahindra Venture Capital Fund and Eurindia Ltd, a global India-centric venture fund based out of Mauritius, are key investors in the company.

The US-based Compucredit, has a 7.5 per cent stake in the company and is also one of its key clients.