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Wipro to Acquire Quantech

Filed in archive Enterprise Software by prashanth on May 26, 2006

Wipro to Acquire Quantech

Wipro Ltd. will acquire U.S. mechanical design firm Quantech Global Services LLC and its Indian subsidiary in an all cash deal, Wipro announced Monday.The acquisition will add mechanical design to the services Wipro already offers product companies, said A.L. Rao, Wipro chief operating officer. Wipro already designs embedded software and hardware for companies such as the top five mobile phone makers and top-tier telecom equipment vendors, he added.

Quantech, with revenue of US$12.7 million last year, offers CAD (computer-aided designlinks) and engineering services to automotive makers, aerospace companies and consumer-product makers. Quantech's clients include General Motors Corp., Nissan Motor Co. Ltd., and DaimlerChrysler AG, said Mukesh Gandhi, chief executive officer of Quantech of Michigan.

Wipro of Bangalore did not disclose the deal's financial details. The acquisition's value is likely to be about $10 million, a part of which would be paid up front when the deal closes and the balance if financial targets are reached over a three-year period, said Sudip Nandy, chief strategy officer of Wipro's Wipro Technologies business.

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Prashanth Rai




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