Quess Corp to Acquire 45% stake in Simpliance
Adds Technology Muscle to Compliance Management Function
Bangalore October 19, 2016: Quess Corp., India’s leading integrated business services provider serving over 1300+ customers announced that it has entered into a definitive agreement to acquire 45% stake in Simpliance Technologies Private Limited (“Simpliance” or “Company”). Quess’ investment is focused on helping develop and ramp-up the Simpliance technology platform which is aimed at providing a one stop comprehensive solution for meeting the labour compliance requirements of corporates.
Simpliance is a Bengaluru based compliance technology firm headed by Anil D’Souza, an ex-Naval officer with a strong technology background and experience in the field of human resources and labour compliance. The technology platform developed by Simpliance has been piloted at corporates and staffing companies with successful results.
Labour compliance today is manually driven with significant variations in compliance requirements based on the company’s location. Companies are heavily dependent on local consultants to ensure compliance with state labour laws and regulations resulting in significant risk exposure. The Simpliance technology platform attempts to make the compliance management process at corporates a “smart” process by relying on a centralised rule driven database.
Commenting on the investment, Mr. Ajit Isaac, Chairman and CEO of Quess Corp said, “The investment in Simpliance is a play on digital India. Labour law compliance management is one of our core offerings. With Simpliance, we enhance this core offering of Quess with a strong technology solution, leveraging our existing scale in this burgeoning space. A tech enabled solution adds value to clients by reducing the time and cost of compliance management. We believe our domain competency coupled with Simpliance’s technology prowess will enable us to position ourselves as a leader in this field.”
Simpliance will continue to be managed by the existing Key Management Personnel headed by Anil D Souza. Quess will pay a consideration of Rs. 2.5 crore as fresh equity for a 45% stake and the investments will be used to enhance the existing platform.
Closing of the transaction is subject to, inter-alia, fulfilment of certain conditions precedent set out in the agreement between the parties to the satisfaction of Quess, and statutory and regulatory approvals.
This document contains statements that constitute forward-looking statements. These statements include descriptions regarding the intent, belief or current expectations of the Company or its directors and officers with respect to the results of operations and financial condition of the Company. These statements can be recognized by the use of words such as ”expects”, “plans”, ‘will”, “estimates”, “projects”, or other words of similar meaning. Such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and actual results may differ materially from those in such forward-looking statements as a result of various factors and assumptions, which the Company believes to be reasonable in light of its operating experience in recent years. The risks and uncertainties relating to these statements include, but not limited to, risks and uncertainties, regarding fluctuations in earnings, our ability to manage growth, competition, our ability to manage our international operations, government policies, regulations, etc. The Company does not undertake any obligation to revise or update any forward looking statement that may be made from time to time by or on behalf of the Company including to reflect actual results, changes in assumptions or changes in factors affecting these statements.