Just been talking to a contact of mine and he told me that one of the big Indian IT suppliers has tabled a bid to buy logica.
There has been talk over the last couple of years that an Indian IT giant would buy a big European supplier. Logica would be a great way for an Indian supplier to break into the UK public sector. There are currently no Indian suppliers in the government’s top 19 suppliers. But Logica is there.
HCL acquired SAP service provider Axon for £441m in August 2008 but a takeover of Logica by an Indian supplier would be a much bigger deal. Last year Logica had about 40,000 employees and revenue of £3.7bn.
A senior Indian IT executive said that the likes of Logica, Steria and Capita as well as other similar companies have been targets for some time.