Quintegra Solutions acquires PA Corporation

Quintegra Solutions Ltd has informed that the Company has acquired M/s. PA Corporation, Maryland, Virginia, USA (PAC) for a consideration of Rs 198 crores (USD 49 Million). To this effect, the Company has entered into a Share Purchase Agreement on October 18, 2007.

PAC brings core competencies in high end IT consulting and leadership in middle-space IT services such as enterprise application services, date architecture & data validation, audit compliance documentation, business process management, integration architecture & deployment and testing & configuration management.

In this regard the Company has issued the following Press Release:

"Quintegra Solutions Ltd has acquired PA Corporation a US-based information technology Company providing a broad range of services to several industry sectors as welt as specialized consulting resources in a variety of IT-related projects. In acquiring PAC, Quintegra gains capabilities and expertise that strengthen the Company's fast-growing IT and consulting services.

Founded in 2002 and headquartered at McLean, Virginia, PAC brings core competencies in high-end IT consulting and leadership in middle-space IT services such as enterprise application services, data architecture & data validation, audit compliance documentation, business process management, Integration architecture & deployment and testing & configuration management. This transaction provides Quintegra with these value adding capabilities and a strong base of clients (including Fortune 500 organizations) predominantly in the BFSI, mortgage & brokerage space, such as Charles Schwab, Fannie Mae, NASD, Amex, Freddie Mac, Washington Mutual and Wells Fargo. In addition, Quintegra gains a highly experienced management team, led by LeRoy Pingho, CEO of PAC and Wally Kulesza, President and Chief Operating Officer of PAC. Both Mr. Pingho and Mr. Kulesza have rich experience in senior executive roles in global organizations in the domains of financial services as well as IT.

This transaction marks an occasion where an offshore IT services Company has joined with a focused independent, US-based middle-space IT services and high-end IT consulting provider to create a single, seamless, global delivery model, managed with common processes worldwide.

"This acquisition demonstrates our commitment to continue building on the success of Quintegra's fast-growing IT services by expanding the depth of services we can provide to our clients." said Shankarraman Vaidyanathan, Chairman and Managing Director of Quintegra. "PAC's offerings in the currently underserved middle-space IT services, high-end IT consulting capabilities and strong foothold in primarily serving clients in the Fortune 50 compliments our strong offshore presence, mature delivery processes and growing IT services & products offering. Combining the resources of both organizations will allow Quintegra to offer broad and, deep set of IT services and products in the industry."

With this acquisition, Quintegra is poised to earn revenues in excess of Rs 400 Crores (USD 100 Million) and Profit in excess of Rs 50 Crores (USD 13 Million) for the financial year ending March 31, 2008 as against Rs 75 Crores of revenue for the previous year ended March 31, 2007 and Profit of Rs 7 Crores. This acquisition also takes Quintegra's global headcount to over 1,000 professionals.

"This acquisition is in keeping with Quintegra's articulated strategy of enhancing our competencies. We have had phenomenal growth organically as well as inorganically in the last 10 months. I am personally confident that we will continue with this momentum to achieve our vision of becoming one of the top IT Companies in India by the year 2010." Mr. Vaidyanathan added.

03 Capital Advisors Pvt Ltd has acted as the advisors to the transaction for PA Corporation and MAPES Advisors Pvt Ltd has acted as the advisors to the transaction for Quintegra Solutions Ltd".