Firstsource eyes Prudential centres
Mumbai-based BPO firm, Firstsource Solutions, is learnt to be in talks with UK-based financial services major Prudential for acquiring two of its global contact centres, one of which is located in Mumbai.
By Gaurie Mishra & Deepshikha Monga, TNN |
NEW DELHI: Mumbai-based BPO firm, Firstsource Solutions, is learnt to be in talks with UK-based financial services major Prudential for acquiring two of its global contact centres, one of which is located in Mumbai.
Industry sources said Firstsource is in initial discussions with Prudential for an outsourcing plus acquisition deal where Firstsource will enter into a long-term outsourcing contract with the London-headquartered financial services company. This would be similar to the recent $250-million Infosys-Philips deal and the TCS-Pearl deal, valued at $800 million.
Firstsource, earlier known as ICICI OneSource, was set up by ICICI. After its IPO, ICICI group, through various subsidiaries, holds 24.99% stake in the BPO outfit. Sources say, Firstsource could get leveraged finance from ICICI Bank, if the deal goes through.
“As a matter of policy we do not comment on market speculation,” said a Firstsource Solutions spokesperson. A Prudential spokesperson, too, declined to comment. TCS, too, has been named as a prospective suitor in some media reports. Prudential’s captive centre — Prudential Process Management Services (PPMS) — is located in Mumbai and has a strength of about 1,800 people. About one-third of Prudential’s customer service work is done out of the Mumbai captive, a company spokesperson said.
PPMS is the back office of Prudential PLC —an international retail financial services group which provides annuities, corporate pensions, with-profits and unit-linked bonds, savings and investments products, protection policies, equity release and health insurance products.
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Sources said the company has initiated discussions with investment bankers for finding a suitor for its back-office operations in India and the UK. The size of the outsourcing and contact centre sale deal is estimated to be about $1-1.5 billion. Download
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