Financial Technologies (India) Ltd, an e-trading and financial software solutions provider, is eying the US market as part of its global expansion plans. The company is currently studying the market and exploring possibilities of establishing a physical presence in the US.
“We have already stationed three to four employees in the US. They are studying the market and various business possibilities in terms of setting up a representative office or a wholly owned subsidiary,” Mr Ajay Narasimhan, Director, Corporate Communication and Strategy told Business Line.
The company is also keen on penetrating other markets especially the Asia Pacific Region before taking its operations global on a large scale, Mr Narasimhan added. “We want to build good proof points in India and geographies nearby before we take our products international.” The company expects its expansion plans to take concrete shape within the next 8 to 18 months.
This expansion will be financed through cash reserves that the company has accumulated through the years, Mr Narasimhan said, ruling out the possibility of an IPO from the company in the near future.
“We have a comfortable cash position as of now with a gross operating profit margin of 40 to 45 per cent. So funding expansion will not be difficult and there are no plans to raise money from the capital market as of now,” he said.
Meanwhile, the company expects a flat topline this fiscal owing to the depressed market scenario but is confident of notching a 50 per cent growth for the financial year 2002-03, Mr Narasimhan said.
The company reported revenues of Rs 18.75 crore in 2002-2001 with a net profit of Rs 6 crore.
DerivativesConnect: Financial Technologies will launch, DerivativesConnect, a comprehensive end-to-end solution for the derivatives market on Friday.
The solution provides a customised interface to enter, monitor, execute and process trades for both cash and derivatives through a single platform.
Derivatives Connect has four components – ODIN Integrated, a multi-exchange trading platform for cash and derivatives trading; Match Derivatives, a multi-exchange back-office solution; FT-Prime, a real-time Portfolio based Risk Analysis and Management tool and Straight Through Processing (STP) Switch which provides real-time interface between ODIN Integrated and Match Derivatives.