Accel Acquires 51% Stake In Accel Frontline For $11M
After selling nine per cent of its stake in IT services joint venture Accel Frontline Ltd to British Telecom in 2008, promoter Accel Group has done a volte-face and bought a majority stake in an off-market deal, announced last week. Accel has paid $11 million (Rs 50 crore) to BT Frontline, Singapore, earlier this month for 51 per cent stake in Accel Frontline, ToI reported.
The Chennai-based group now owns a total of 70.44 per cent stake in Accel Frontline.
Accel Group also runs BSE-listed Accel Transmatic, Accel Frontline Services, Accel Media Ventures, Accel Systems Group and Accel IT Resources, and operates across 59 cities in India, Singapore, the Middle East and the USA. However, the group is now considering a restructuring of operations and shifting most of its units under Accel Frontline Ltd.
In a notice to the BSE, Accel Transmatic has announced that it will become an animation & media firm and 'dispose of' other software and technologies divisions, as well as its overseas subsidiary Accel North America, Inc.
Chennai-based Accel Frontline offers IT infrastructure solutions, infrastructure management services and enterprise software services, and caters to manufacturing, banking & finance, education, government and telecom sectors. The company has added 32 new customers in the quarter ended June, 2011, and now has 634 customers on board.
It registered 36 per cent annual rise in consolidated revenues in the first quarter of the fiscal 2012 to Rs 97.35 crore. Consolidated net profit was up 88.99 per cent to Rs 2.03 crore, as compared to the same quarter in the previous fiscal.