IT outsourcing firm Sutherland Global Services on Wednesday said it has acquired India-based Adventity Global Services, the latest in a string of acquisitions in the sector.
The all-cash deal was valued at about 2.5 billion ($55 million) with Adventity expected to record revenue of $50 million in the next 12 months, a source said on condition of anonymity.

The purchase of Adventity will help Sutherland, which is backed by Standard Chartered Private Equity and Oak Investment Partners, to firm up its presence in Asia, Africa and the Middle East, Dilip Vellodi, chairman and chief executive of Sutherland, told Reuters.

These regions account for about 15 percent of a $175 billion global outsourcing services market, with U.S. constituting 65 percent and Europe making up the rest, he added. Funded by Norwest Venture Partners, CIBC and DA Capital in 2007, Adventity employs over 2,500 people who service the banking and financial, airline and travel sectors.

New York-headquartered Sutherland employs more than 26,000 people and has 25 global delivery centers in countries including the U.S., India, UK and Philippines. It recorded revenue of more than $400 million last year and hopes to cross $500 million this year, Vellodi added.

Spark Capital advised Sutherland on the deal.

This deal follows business outsourcing firm Aditya Birla Minacs’ purchase of UK-based Compass BPO Ltd in March and medical transcription services firm CBay Holdings’ acquisition of some assets of Spheris for $116.3 million in April. Source

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