TCS seeks to double revenues from LatAM
Business Standard — June 20, 2006

Tata Consultancy Services (TCS) is looking to double its revenues from Latin American markets to $100 million, buoyed by clinching two more deals from the region. The Tata group company hopes to sign two multi-million dollar outsourcing deals in Brazil "immediately". "The company's revenues from Latin American markets stood at around $50 million during the last financial year and we expect to double this year.

We expect to finalise a couple of deals — one from financial sector — from Brazil shortly," said N Chandrasekaran, executive vice-president and global head (sales and operations), TCS. He, however, did not divulge the names of the companies or the expected deal size. The earlier $200-million outsourcing deal signed between TCS and ABN Amro last year had helped the company establish presence in the region, and the IT major is exploring similar opportunities in the region.

Meanwhile, the company today announced the acquisition of two new customers in the Latin American market, under a deal worth around $30 million. TCS will conduct business process outsourcing and IT operations for Transantiago, an integrated public transportation system planned for the capital city of Santiago, Chile. Over a period of three years, TCS will build and manage communications, customer care, operational support and information systems for Transantiago by leading a consortium of four other service providers.

The core IT systems will be built by the company's IT division specialising in intelligent transportation solutions. TCS has also secured a five-year contract with a leading banking and financial group, under which it will manage the company's backoffice operations. The backoffice operations include the bank's loan and credit business in Chile. Chandrasekaran did not divulge the name of the financial group. At present, the company employs 2,532 people in the region, and hopes to raise headcount to 3,000 by the end of this year.