The Citi Group has reduced its holding in the Chennai-based Polaris Software Lab, a financial technology company, to a little under 20 per cent through the market route.
The Citi Group's holding in Polaris now hovers around 19 per cent, according to R. Srikanth, President and Chief Financial Officer, Polaris. The reduction in the Citi Group's holding happened over the last few quarters, he said. The Citi Group was holding around 44 per cent six quarters ago.
As a consequence, the holdings of financial institutions, foreign institutional investors, mutual funds and banks in Polaris have risen to 34 per cent from a mere 7 per cent six quarters ago.
Mr. Srikanth said Polaris proved a big attraction for these institutional investors for a variety of reasons ranging from its mid-sized nature to its strong presence in the banking product space.
Polaris, he said, posted a 7 per cent sequential growth in revenue during the third quarter ended December 2010 after a gap of four quarters. Revenue stood at $89.1 million for the quarter ended December 2010, up from $ 83.6 million in the previous quarter. The year-on-year product revenue (on sales of intellect products) grew to $20.76 million, up from $14.5 million in the same quarter in the previous year.