3i Infotech also had internal accruals. And, to aid possible acquisitions, it recently sought an enabling resolution to issue securities or instruments of up to $50 million, he said.

The acquisitions would likely be in the banking. financial services, insurance (BFSI) space or in certain services. They could be chosen for the product suite they offer or for the opportunity they might offer in new geographies. “We feel it is better to pick up a product from the market,” he said.

Typically a target company would be of a size one-tenth in terms of revenues with respect to 3i Infotech. “That is where integration becomes easier and when those companies can look forward. In the companies that we have acquired, we have 75 to 80 percent of the staff with us,” Chintopanth said.

3i Infotech likes to call itself a ‘solutions' company eyeing a target mix of 50:50 from services and products. It is nearly there, pointed out Chintopanth, with products accounting for 45 percent of revenues. In the product space insurance is the driver of growth today, he said.

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