Indian Rayon, a major company of the Aditya Birla Group, announced its entry today into the BPO sector with the acquisition of TransWorks, a leading Indian ITES/ BPO company.

Says Mr. Kumar Mangalam Birla, Chairman of the Group, "We are excited by the potential of the BPO sector and very pleased to have TransWorks joining the Group. This acquisition will also synergise, support and leverage Indian Rayon's existing thrust in the IT services sector in particular, and the services sector in general:"

TransWorks has delivery centers in Mumbai and Bangalore. It is the world's first COPC (Release 3.2) certified company. The Company has off shoring contracts with well-known businesses in North America and the UK, including several Fortune 100 clients. TransWorks was funded by the renowned Venture Capital firm ChrysCapital, founded by Mr. Rizwan Kotia and Mr. Jagdish Moorjani, and has a strong management team led by the CEO, Mr. Prakaash Gurbaxani. The Company has a current revenue run rate close to US$1 million per month and employs approximately 1000.

Mr. Sanjeev Aga, the Aditya Birla Group Director, emphasized the Group's resolve to create a large, healthy BPO business over the next 5 years. "Our aspiration is three-fold: to become a leading BPO player, to provide superior returns to shareholders and to add true value to clients through superior, distinctive, and dependable services," he said.

While this acquisition gives Indian Rayon a running start into the BPO sector, TransWorks will benefit from the Aditya Birla Group's financial depth, professional excellence, and strong relationship with potential BPO customers. The Aditya Birla Group operates in 18 countries and has alliances and partnerships with renowned international companies. The transaction which will provide Indian Rayon 100% shareholding in TransWorks, for a total consideration of upto approximately US$13m based on milestones, and is subject to requisite regulatory approvals. ChrysCapital owns about 80% of the paid up share capital of the Company, whilst the rest is held by the founders.

The Indian BPO sector is growing at a 60% clip annually, and is believed to have crossed the US$2.5 billion mark. Building upon the platform and process capabilities already created, the entry of Indian Rayon is expected to propel TransWorks into a higher growth trajectory amongst the best Indian BPO players.

Indian Rayon and Industries is Aditya Birla Nuvo since Oct 27, 2005.