Even as troubles in the financial services and automotive sectors globally continue to worry India's IT service companies, Infosys Technologies is focusing on smaller acquisitions in the healthcare space. It is looking at small acquisitions, of the range of $100-200 million, as managing a large acquired entity would be tough in today's circumstances.
Infosys has begun evaluating firms in France and Germany. Besides, its CFO Balakrishnan said the company is also evaluating firms in Japan with an aim of getting a stronger foothold in the closed Japanese market. The Japanese market for IT services is estimated at $108 billion.
Amongst the top IT firms in India, Infosys have been the most conservative as far as acquisitions are concerned. In 2003, it acquired an Australian firm, Expert Information Technologies, for about $24 million. Four years later, it acquired Philips' global BPO operations. Infosys' cash reserve stood at about Rs 8,450 crore at the end of Q3FY08. For FY09, Infosys has forecasted revenues of between $4.72 billion and $4.81 billion in dollar terms and Rs 21,309 crore - Rs 21,731 crore in rupee terms.crackcrack
