City- based KG Information Systems Pvt Ltd (KGISL), a global IT services, consulting, and business solution provider, has acquired AETINS through its wholly-owned subsidiary in Malaysia, KG Information Systems. With this acquisition, KGISL will expand its footprint into insurance technology space.
Malaysia-based Aetins has customers in Vietnam, Pakistan, Qatar, and Cambodia, and the acquisition will give access to Middle East, North Africa markets for KGISL, which at present is strong in Eastern markets, KGISL Managing Director, Ashok Bhaktavatsalam told reporters here on Tuesday.
Noting that KGISL currently boasts of 260 clients and will add 30 plus larger insurance clients following the new acquisition, Ashok said that the company, with a revenue of Rs 250 crore plus has 2,000 employee strength.
"The acquisition brings together two leading InsurTech players in pursuit of a common mission, centred on providing the best value for customers, organisation and employees. With able leadership and a go-getter team, KGISL has been on a fast growth trajectory, clocking a five-fold growth in the last four years. This acquisition adds momentum, and I am confident that our growth will be even faster in the next 3 years, Ashok said.
On the future plans, KGISL Director and Chief Executive Officer, Prassadh Shanmugham said the company will induct 6,000 to 8,000 employees and reach Rs 1,000 crore in the next three to four years, with Aetins products and solution alone expected to bring Rs 200 crore plus the next couple of years. The company also plans to come out with an IPO in the the next three to four years, with employee stock options, Ashok said adding it will also enter the UK and USA Markets.
Forty percent of the revenue of KGISL, which has grown four to five folds in the last five years, is coming from the insurance space and the company is eyeing to acquire neighbourhood country companies in the near future. "I am super excited about this acquisition. AETINS Core Insurance products, Takaful offerings and good presence in the Middle East market are the missing pieces in KGISLs Insurance offerings. It would have taken years for us to build this capability, so the acquisition is a perfect fit for KGISL. The employees of AETINS share the same integrity, culture and value systems of KGISL, so the integration will also be smooth and quick," Prasaadh said.