Quess Corp announced that its subsidiary Conneqt Business Solutions Ltd. (Conneqt) has signed definitive agreements to acquire a majority stake in Allsec Technologies Limited (Allsec). The transaction involves Conneqt purchasing 35.35% from the promoters, 26% from First Carlyle Ventures Mauritius thereby acquiring a majority control of 61.35%. In accordance with SEBI Regulations, Conneqt will make an open offer to the public shareholders of Allsec to purchase up to 26% of shareholding. The transaction is conditional to the fulfillment of customary closing conditions and required statutory approvals.
Allsec Technologies Limited is a global company with considerable expertise in providing business process solutions across various industry verticals. The Company started operations in 2001 and is listed on the National Stock Exchange of India (NSE) and BSE Limited. The Company operates across two segments globally viz., (a) Human Resources Operation (HRO) covering HRMS, Statutory Compliances, Payroll Services, Time and Attendance management; (b) Customer Lifecycle Management (CLM) which encompasses lead generation, customer retention and relationship management comprising both voice and non-voice processes.
The key strategic rationale for the transaction are as follows:
Mr. Ajit Isaac, Chairman & Managing Director of Quess Corp, said, “This acquisition underlines Quess’ ability to quickly build scaled global business platforms. Through this transaction, we now have the opportunity to leverage Allsec’s global presence as well as their deep domain expertise in the HRO business to further deepen client relationships to drive growth and profitability for both Conneqt and Allsec. Apart from the business synergies, the transaction will be accretive to both Conneqt and Quess from Margins, Cash flow conversion as well as RoCE perspective thereby creating long term value for our shareholders.”
Mr. AdiSaravanan, Founder & President of Allsec Technologies, said, “Allsec is excited to be a part of a revolutionary journey that has come at a time when we are seeing tremendous potential in the industry. The need of the hour is advanced, digital technology that can deliver true business value by adapting to ever changing customer needs. Our experience in the contact centre business for over 18 years, and across diverse geographies, has culminated in this momentous relationship with Quess. We are confident that now is the right time to expand to larger international markets, particularly in the US, and become a frontrunner in driving business value at a time of rapid transformation. With Allsec’s long-standing experience, and Quess’ presence across global markets, we believe that there is immense synergy between the two teams to set a new standard in Client Lifecycle Management delivery. We are excited about this relationship, and it is a great start to the year.”
Mr. JagadishRamamoorthi, Co-founder and CEO of Allsec Technologies, further added, “In the last 18 years, Allsec has grown to become one of the country’s most reputed business process outsourcing providers. Conneqt and the Quess group with their industry leading capabilities in the business process outsourcing will bring the needed synergy that resonates well with our global vision. We are confident that this transaction will enable Allsec to nurture its core capabilities and deliver significant value to its customers, employees and shareholders in newer markets. The existing businesses are growing with a strong momentum and we believe this new engagement will keep the company and its shareholders in good stead.”
