Bandhan Bank promoter enters IT sector with this 'all-cash deal' that has origin in London

Bandhan Financial Services Ltd (BFSL), the promoter of Bandhan Bank, has made a strategic move into the technology sector by acquiring the Genisys group of companies. The UK-based IT and business process services provider was acquired in an all-cash deal worth nearly Rs 100 crore.

This acquisition aligns with BFSL's strategy to leverage technology to drive growth and innovation. The company believes that technology-driven solutions, particularly in the banking and financial services sector, have immense potential. "The entry into the technology sector is in confirmation with the applicable guidelines for core investment companies, which are allowed to invest in non-financial sectors," BFSL managing director Arvind Agrawal told Economic Times.

Genisys Information Systems to be headquartered in India
Genisys, with its expertise in AI-enabled solutions, will enhance BFSL's capabilities. The acquisition will also allow Genisys to expand its operations and explore new opportunities. The IT services group had three separate companies under it -- Genisys Software Ltd (UK), Genisys Software Ltd (US) and Genisys Information Systems India Pvt Ltd. BFSL acquired the all three separately and has now brought them under one entity -- Genisys Information Systems India Pvt Ltd, which is located in Bengaluru and will become the head office. The London and New York units will be turned into subsidiaries of it.

Third acquisition for BFSL
This is the third acquisition for BFSL, but the first outside the financial sector. The company has previously acquired IDFC Asset Management Company and Aegon Life Insurance to strengthen its presence in the financial services industry.

The acquisition of Genisys comes shortly after the return of Bandhan Group founder Chandra Shekhar Ghosh as chairman of BFSL. Ghosh, who retired as managing director of Bandhan Bank in July, is expected to play a key role in shaping the group's future strategy.