The latest news to hit Indian IT industry today morning was that of Infosys bidding for Europe’s largest IT services giant, Capgemini.While both sides denies these facts, the European stock market is having a harvest with Capgemini shares value rises 4.6% to a two week high of 53.78 euros. Whether this whole thing is another hoax or not, the trust European investors shows on this Indian IT giant is worth noting and can be summarized by the statement from a Dresdner Kleinwort analyst- “Infosys is big enough and none of the large Indian players has made a large acquisition in Europe” and he is definitely optimistic about Infosys doing something big like this.
If such a merger were to happen, the combined strength of the two companies in terms of turnover would stand at around $14 billion, still some way behind global leaders IBM, EDS and Accenture but definitely will end up as the undisputed king of Indian service industry. The fact that consulting business for Infosys is still on the investment mode and they have shown interest in inorganic growth, will this be yet another India Inc rising clout into the global market?
