Quess Corp to Acquire Comtel Solutions
Establishes Market Leading Presence in IT Staffing Solutions in Singapore.
Bangalore October 19, 2016: Quess Corp., India’s leading integrated business services provider serving over 1300+ customers, announced that it has entered into a binding agreement of terms to acquire a majority stake in Comtel Solutions Pte. Ltd. (“Comtel” or “Company”), marking Quess’ entry into the Technology Staffing domain in Singapore.
Closing of the transaction is subject to, inter-alia, fulfilment of certain conditions precedent set out in the agreement, to the mutual satisfaction of both parties, and statutory and regulatory approvals.
The transaction is expected to provide a significant boost to Quess’ operations in Asia Pacific where it already has presence in Malaysia, Philippines and Sri Lanka.
Comtel is one of Singapore’s largest independent staffing companies with services offered across staffing solutions, managed services solutions, and recruitment and search services with operations across Malaysia and Indonesia. Comtel serves more than 60 clients, including marquee names in BFSI, Engineering and IT sectors. The Company grew at a CAGR of about 27% between FY14 -16 and closed FY 16 with revenues of SGD 82 million and currently has a headcount in excess of 1,400 associates.
Quess will initially acquire 64% in Comtel while the balance will be acquired in a phased manner over FY 18 – 20. Quess and the current Comtel management will work towards rapidly expanding the platform bringing together their respective expertise and local knowhow.
Commenting on the partnership, Mr. Ajit Isaac, Chairman and CEO of Quess Corp said, “We are excited about our investment in Comtel – a market leader in IT staffing services in Singapore. The acquisition helps build our business services platform to seamlessly serve our clients across India, USA, Canada, Philippines, Malaysia and now, Singapore. We firmly believe that the acquisition of Comtel will serve as a springboard for expansion of other Quess’ services such as general staffing, managed services for technology, training & skill development, and facility management to Singapore. In addition to being margin accretive, the investment is in line with Quess’ philosophy of backing strong management teams. We are confident of achieving further synergies between Comtel and Quess to create long term stakeholder value”
Mr. Vasudev Gopal, CEO of Comtel commented “We look forward to working together with Quess. The transaction represents the coming together of the service capabilities of Quess and the strong platform and local expertise of Comtel”
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.