Less than 10 days after Indian IT services provider Infosys said it’s acquiring UK SAP consulting firm Axon Group for $753.1 million, its crosstown Bangalore rival Wipro says it’s on the prowl for acquisitions.
This is what a senior Wipro executive told the Wall Street JournalÂ (subscription required):
Girish Paranjpe, Wipro’s joint chief executive, said that the company is looking for an acquisition with a strong cultural fit. That consideration, at least to some degree, overrides the price tag — which is “not a big issue,” he said. “To me, if you pay 20% to 25% of a premium, that doesn’t matter as much as the fit.”
Both Wipro and Infosys started off in the 1990s providing low-level testing and QA work to U.S. companies looking to cut costs but have slowly moved up the value chain and now provide more sophisticated technology consulting and product development services.