Indian software firm TCS last month acquired a 75% equity stake in its Switzerland-based partner, TKS-Teknosoft (TKS).
The acquisition aims to give TCS a direct presence in Switzerland and France, and help it expand its sales in the banking and financial services markets, by acquiring marketing and distribution rights to the QUARTZ application, and adding new products in the private banking and wealth management market. The acquisition also brings over 100 staff into TCS
“This acquisition is very important on two fronts. It gives TCS a direct presence in the key markets of Switzerland and France with an ability to serve customers with a single face, from sales to delivery,” says S. Ramadorai, CEO and MD. “The TKS acquisition also helps TCS expand its product portfolio in the banking and financial services space, not only by acquiring marketing and distribution rights to QUARTZ but also by adding new products in the private banking and wealth management space.”
As part of the transaction, TCS has also acquired the ALPHA and e-Portfolio products from TKS. ALPHA gives TCS a foothold in the private banking segment and e-Portfolio in the emerging wealth management segment. The acquisition of these two products, together with existing TCS products like FNS’s core banking system, the QUARTZ platform for wholesale banks and its proprietary products in the treasury, custody, clearing and settlement gives customers access to a comprehensive product portfolio owned and supported by TCS.
“This acquisition is a winning proposition for all stakeholders. TKS has developed strong relationships with several multinational companies in these markets and TCS can leverage these relationships through its direct presence,” adds N. Chandrasekaran, Executive Vice President and Global Head of Operations. “The acquisition also brings over 100 professionals into TCS , all of whom have tremendous experience in the European markets.”
“TKS’ hard work as an ambassador of India’s outsourcing strengths and skills in IT has resulted in such an ideal solution, guaranteeing further development of what TCS and TKS have achieved together,” says Pierre E. Page, chairman, TKS.
Founded in 1985 by Pierre E. Page, TKS-Teknosoft SA is a Swiss-based software provider which has worked in partnership with TCS, notably on the platform behind the failed GSTPA central matching project.
In 2005, TKS earned revenues of CHF 71.5 million and net income of CHF 9.6 million. The firm has 115 employees.