EDS wraps up MphasiS buyout, corners 52% pie

EDS, a global technology services company, has announced that it has completed the acquisition of a majority stake in Mphasis BFL, a software and BPO services company based out of Bangalore.

EDS has acquired 83 million shares (approximately 52 per cent) of MphasiS for approximately $380 million in cash, the company said in a release.

Post-acquisition, MphasiS will operate as an independent EDS company. With the addition of MphasiS and the current expansion plans, EDS' total India workforce in India is projected to exceed 20,000 by the end of the calender year, making India the second largest employee location for EDS after the US. At present, of Mphasis' 12,000 employees, 11,000 are based out of India.

EDS which clocked a revenue of $19.8 billion in 2005, has approximately 16,000 employees in 27 countries, including 3000 in India.

Earlier on 8 June this year, in a joint press press meet attended by MphasiS CEO Jerry Rao, EDS vicepresident, business workforce and capacity management Stephen R Heidt had announced that MphasiS will continue to operate with its present management team and company name following the completion of the transaction.