First it was rumored to be Infosys, then it was Wipro and now Reliance communications seems to have initiated talks with Cap Gemini, the French IT services company for a takeover. Though there are indications that the initial talks have been bogged down over price issues.
Capgemini, the French IT services group, has held early-stage talks with Reliance Communications, of India, that could result in the first acquisition of a significant Western IT house by one of India’s fast-growing competitors.
Times Online can reveal the French-based group has met with Reliance Communications, the technology and telecoms arm of Anil Ambani’s Reliance ADAG group in recent months, sources said.
The possible takeover of Capgemini emerged as the group acknowledged that the US sub-prime mortgage crisis that has wiped billions of dollars off banks’ balance sheets could impact its own growth in the coming year.
The company made the forecast as it revealed full-year profits for 2007 rose from €293 million to €440 million (£327 million), which was in line with analysts expectations.
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