Offshore delivery services to Steria SA
MUMBAI - October 27, 2003
Business Standard
Parvathy Ullatil

PSI Data Systems, the infotech arm of the Aditya Birla group, has inked a software solutions outsourcing agreement with French IT services company Steria SA.

PSI Data Systems , which was an affiliate of another French giant Groupe Bull SA, found a gap in its client list when Bull divested its 50.35 per cent stake in the company in 2001.

While Bull accounted for nearly 20-30 per cent of PSI Data Systems’ total business, the company hopes that their tie-up with the 1.2 billion company Steria SA will fill that gap.

"We have signed a memorandum of understanding with Steria for offshore delivery services. Steria outsources software solutions in a big way globally.

The French firm has identified India as a major outsourcing hub for its future activities and PSI Data Systems will be its only Indian partner in all its activities from the country. We hope this deal will compensate for the business we lost when Bull exited PSI Data Systems ," said Adesh Gupta, president and chief financial officer, Indian Rayon, of which PSI Data Systems is a subsidiary.

Gupta also expects Indian Rayon's software business, which includes the Transworks business process outsourcing centre besides PSI Data Systems , to break-even on a cash basis by the year-end.

PSI Data Systems specialises in customised software solutions particularly for the banking, finance and insurance sectors.

The Bangalore-based company, which was set up in 1978, was acquired in June 2001 by Indian Rayon for Rs. 99.2 crore.

Steria is among the leading the IT service companies in Europe.

Its core activities include consulting, systems integration and information technology managed services.

The company is present in 12 countries including France, Denmark and Spain, and in economic sectors such as public authorities and institutions, banking and insurance, manufacturing / utilities, transport and telecommunications.

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