BANGALORE:Infosys BPO, the business process outsourcing subsidiary of Infosys Technologies, is acquiring Portland Group, a provider of strategic sourcing and category management services based in Melbourne, for 37 million Australian dollars (Rs 194 crore). Infosys will acquire the entire share capital of the company.

The all-cash deal is expected to be completed by early January. Portland Group, which employs 113 people in Sydney, Brisbane and Perth, reported a revenue of AUD 31.3 million (Rs 164 crore) during the fiscal ended June 30, 2011.

Swaminathan D, CEO of Infosys BPO, said the company was delighted to have an outstanding team of domain specialists in Portland Group join Infosys. “This acquisition would significantly deepen our capabilities and domain expertise in our sourcing and procurement practice. Further, in a dynamic marketplace such as Australasia, this will strengthen the top-end of our service offering in the strategic sourcing and category management functions. This will also enhance the competitiveness, spread of offerings and global reach for our clients,” he said.

Gavin Solsky, CEO of Portland Group, said the combination of Portland Group and Infosys would provide clients with a highly compelling proposition that does not currently exist in the sourcing and procurement services market in Australia. “It will allow us to offer our clients a truly integrated and globally competitive solution to deliver procurement benefits in the most effective and efficient way possible,” he said.

This is Infosys BPO’s third acquisition. In 2007, it had taken over Dutch consumer giant Philips’ captive BPO centres in Poland, India and Thailand. Philips had also then signed a seven-year, $250 million deal with Infosys BPO. In 2009, Infosys BPO acquired Atlanta-based insurance BPO McCamish Systems for $38.2 million.