BEIJING, July 3 /PRNewswire-Asia/ -- VanceInfo Technologies Inc.
(NYSE: VIT) ("VanceInfo"), an IT service provider and one of the leading offshore software development companies in China, today announced that it has acquired the operating subsidiaries of TP Corporation Limited ("TP"), a Hong Kong-headquartered provider of Customer Relationship Management ("CRM") solutions and call center services.
Under the terms of the acquisition agreement, VanceInfo will pay an initial consideration of approximately US$1.1 million in cash. Contingent consideration will be paid based on TP’s financial performance in the next 18 to 30 months.
Headquartered in Hong Kong, TP develops and markets customer care software products in China and Southeast Asia and provides call center outsourcing services in Hong Kong. With over 25,000 CRM software licenses installed, TP helps its clients in telecommunications, financial services and government sectors to automate customer operation, support and management. For the five months ended May 31, 2009, the estimated revenues of TP are approximately US$3.9 million.
"We are excited to welcome this highly skilled team into the VanceInfo family as we continue to carry out our investment strategies to build up our expertise and expand in fast growing sectors," said Chris Chen, Chairman and Chief Executive Officer of VanceInfo. "TP’s CRM products will help enhance our solutions capability, enabling us to better meet the needs of telecom carriers, product vendors as well as clients in other industries with the demand for mission critical customer services. With TP’s engagement capabilities in Hong Kong and Southeast Asia, this acquisition will help VanceInfo broaden its client base, reaching out to customers in the region in various sectors."
About VanceInfo
VanceInfo Technologies Inc. is an IT service provider and one of the leading offshore software development companies in China. VanceInfo was the first China software development outsourcer listed on the New York Stock Exchange.
The Company ranked number one among Chinese offshore software development service providers for the North American and European markets as measured by 2008 revenues, according to International Data Corporation.
VanceInfo’s comprehensive range of IT services includes research & development services, enterprise solutions, application development & maintenance, quality assurance & testing, and globalization & localization. VanceInfo provides these services primarily to corporations headquartered in the United States, Europe, Japan, and China, targeting high-growth industries such as technology, telecommunications, financial services, manufacturing, retail, and distribution.
Safe Harbor
This news release includes statements that may constitute forward-looking statements made pursuant to the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as will, should, expects, anticipates, future, intends, plans, believes, estimates, and similar statements. Among other things, the management’s quotations contain forward-looking statements. Such statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected. Potential risks and uncertainties include, but are not limited to, the company’s dependence on a limited number of clients for a significant portion of its revenues, the economic slowdown in its principal geographic markets, the quality and portfolio of its services lines and industry expertise, and the availability of a large talent pool in China and supply of qualified professionals, as well as the PRC government’s investment in infrastructure construction and adoption of various incentives in the IT service industry. Further information regarding these and other risks is included in VanceInfo’s filings with the U.S. Securities and Exchange Commission. All information provided in this news release and in the attachments is as of July 3, 2009, and VanceInfo does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under applicable law.
