As expected, Computer Sciences this week said it has agreed to buy a majority stake in CSA Holdings, a Singapore-based systems integrator.
The deal will provide CSC with better access to CSA Holdings' resources in Asia, allowing CSC to reach more customers in a region where it does not currently have a strong presence.
With annual revenues of $US270 million and 2000 employees, CSA Holdings is among the largest IT services companies in Asia. The deal is part of CSC's effort to become a major presence in the region over the next several years, CSC said in a statement.
CSC said it plans to continue its expansion in Asia through a combination of other acquisitions, joint ventures and new outsourcing contracts with global clients.
CSC said in December it would make a public tender offer to increase its stake in CSA Holdings from 36 per cent. On January 5 CSC made a public tender offer for CSA Holding's shares at $US0.62 per share.
This week CSC said it has reached agreement to increase its stake in the Singapore firm to 51 per cent.
Besides Singapore, CSA does most of its business in Hong Kong, Indonesia, Malaysia, the People's Republic of China, the Philippines and Taiwan. It has subsidiaries in Australia, Canada and the US, and smaller offices in France, Myanmar and Vietnam.