TeamLease Services Limited (NSE: TEAMLEASE, BSE: 539658), one of India’s largest composite staffing company, today announced the signing of a definitive agreement to acquire ASAP Info Systems Private Limited. The transaction remains subject to customary closing conditions and regulatory approvals.
TeamLease will acquire ASAP Info Systems for an enterprise value of Rs. 67 crores through its wholly owned subsidiary, TeamLease Staffing Services Private Limited. The transaction, which will be immediately accretive to TeamLease’s earnings per share, will be financed with existing financial resources and is expected to close before the end of August 2016.
Announcing the signing, Ashok Reddy, Managing Director & co-Founder, TeamLease Services Limited said, “This transaction creates an opening balance for TeamLease to build an IT staffing business. The acquisition is also in sync with our strategy of margin expansion through new product verticals and new client segments”
K J Suwresh, Director, ASAP Info Systems Private Limited said “We are glad that we were able to come to an agreement with TeamLease. Their vision of “Putting India to Work” resonated with us. Further, we were attracted to their track record of growth and long term strategy of building an institution. We are confident our combined capabilities and resources will create a formidable force in IT staffing”.
TeamLease has long serviced IT companies for non-IT staffing positions and expects ASAP to help continue expansion in the space after merging its current offices.
About ASAP Info Systems
Bangalore headquartered ASAP Info Systems realized revenue of approximately Rs. 63 crore with an EBITDA of approximately Rs. 11 crore in FY2016. ASAP Info Systems offers IT staffing solutions to various MNCs and domestic companies with over 1,000 associates and 171 core employees as of date. ASAP is a Tier 1 staffing provider to reputed MNC’S. ASAP Info Systems operates through its offices across India. Bangalore is its corporate office and has branches across Chennai, Hyderabad, Gurgaon and Pune.
About TeamLease Services Limited
Operating since 2002, today TeamLease is one of India’s leading human resource service companies. Currently, the company has 8 offices and 1400 clients across the country. The company has is a one-stop provider of human resources services, offering staffing, payroll processing, recruitment, compliance and training services. TeamLease set in motion the larger company mission of ‘Putting India to Work’ by focusing on its vision of 3 Es – Employment, Employability and Education. The company in partnership with the Government of Gujarat, set up TeamLease Skills University (TLSU), India’s first vocational university, at Vadodara. In FY2015, TeamLease rolled out NETAP (National Employability through Apprenticeship Program) to provide on-the-job training to apprentices. The company at present has about 125,000 associates/ trainees spread across the country and has till date given employment to 1.2 million people with an aim to hire millions more.
For more details, visit www.teamlease.com.