Mid-sized IT product firm Aspire Systems has acquired the services division of SRA Systems, in a move that will see the company enhance its product engineering capabilities and acquire marquee customers such as iPhone maker Apple.
Though the financial details of the deal were not disclosed, Aspire Systems CEO Gowri Shankar Subramanian said that acquisition would increase its annual revenue by around 20 per cent.
The acquisition, therefore, will bring around $4-5 million in annual revenue for Aspire.
Three acquisitionsIn the last six months, Aspire Systems has decided to aggressively pursue inorganic growth, having acquired three small-sized companies for geographic expansion and domain capability.
It bought Applied Development of Belgium in April, and Hyderabad-based Versant Technologies last December.
“We are buying the services division of SRA Systems, which will continue with its product focus. The company is one of Chennai’s oldest IT firms, which had investors such as Baring backing the company,” Mr. Subramanian told this correspondent on Wednesday.
Transfer agreement“We have a completed a transfer agreement with both SRA and its U.S subsidiary 3S, which will see 120 employees come over to our firm. We are thrilled to get customers like Apple, though we cannot disclose what work we will do for them. We will now have the capability to design hardware products for both auto and medical equipment clients,” he added. Mr. Subramanian said that Aspire was hoping to clock an annual revenue of $42-45 million this year, aided by its acquisitions, as opposed to the $30 million it achieved last financial year.
