According to unconfirmed media reports, Carlyle Group, a US-based private equity investment firm, and Ramesh Vangal, a co-founder of Cambridge Solutions and an 18 percent shareholder in the company, have jointly made a bid to acquire a 42 percent stake in Cambridge Solutions, an Indian BPO company, for about USD 170 million. Thus, Vangel and Carlyle jointly aim to hold 60 percent stake in the company valued at about USD 250 million. Through the acquisition, Carlyle aims to strengthen its expertise in the insurance domain. The transaction is expected to be completed in the next couple of weeks. The Scandent Group, a US-based IT and BPO services provider, holds about 59 percent stake in Cambridge Solutions. EDS, Apollo Management, and HCL Technologies have also made their bids to acquire stake in the company. Rajat Gupta, the former Head of McKinsey, Chris Sinclair, the former Chairman of Pepsico, and the Bronfman family of Canada, are exiting Cambridge Solutions. Cambridge’s high-end BPO operations in the US, India, and Europe accounts for about 67 percent of its revenues. The company has expertise in the insurance processing domain employing about 4,500 employees, out of which 2,000 professionals are employed in the US.
Source : India outsource watch