R Systems to acquire WebConverse

MUMBAI: Software products development company, R Systems International Ltd, said on Wednesday that it will acquire WebConverse Inc for over $10.7 mn.

The acquisition is scheduled to be completed within the next three weeks, the company informed the Bombay Stock Exchange.

The company signed a definitive agreement today to acquire WebConverse, a technical support company with US operations and serving the technology sector with focus on growing mobile applications market, it added.

"This acquisition places us in a select group of service providers having onshore & offshore support capabilities," R Systems CEO Rekhi Singh said.

Given the growth potential of the existing WebConverse client base, we see a near term and long term strategic benefit for all our stakeholders, he added.

WebConverse achieved revenues of 5.1 million dollars in calendar year 2005.

The shares of the company closed at Rs 136.35, up 14.48 per cent at the BSE.