Synechron enters Hyderabad, Bangalore to be 'closer to clients'

Hyderabad: Synechron, which provides IT solutions for the financial services industry, will invest $30-35 million on its expansion in India.

The company, with over 5,000 employees globally, has announced the expansion of its Hyderabad and Bangalore facilities.

Of the 5,000 employees, about 4,000 work at the Pune office that was set up along with the company’s New York operations.

“We have decided to expand our presence in India by setting up facilities in Hyderabad and Bangalore. The idea is to get closer to the bigger talent pool and clients. The additional centres will also help us as back-up,” Faisal Husain, Founder and Global Chief Executive Officer of Synechron, told Business Line over phone from Bangalore.

While the Bangalore facility has 150 employees, the Hyderabad office employs 50.

The New York-headquartered firm earned 90 per cent of its $207 million revenues in 2013-14 from the financial services market.

The remaining 10 per cent came from digital media solutions.

“Our target is to grow at 20-30 per cent in the current financial year,” he said.

Replying to a question on Synechron’s global outlook, Husain said that the US market has been picking up.

“We can expect the same trend in the European Union. We see a turnaround happening.

“We are confident of achieving the growth target. We grew by 25 per cent in 2008-09, the year the financial crisis hit the market,” he said. The company offers solutions in IT strategy, architecture, application development, maintenance, business intelligence and data warehousing, Business Process Management and cloud computing.

Before founding Synechron, Husain worked for financial majors Merrill Lynch and Dun & Bradstreet for about six years.

Not going public yet

The self-funded company doesn’t see any requirement for going public in the short and medium term or to raise money from venture capital funds and private equity players.

“We would like to tap all the English-speaking markets in non-US geographies. At present, the US contributes 80 per cent to our revenues, followed by EU, India and Singapore.

“We would like to change the ratio to 70:30 in the next 18 months,” Husain added.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.