CSC Buys Outsourcing Specialist Covansys

In another sign of the growing business of information technology outsourcing, Computer Sciences Corp. announced that it has agreed to purchase systems integrator and consulting firm Covansys Corp. for $1.3 billion.

Of Convansys' 9,000 employees, 6,400 are based in India, which leads the world in providing outsourcing IT services. The purchase doubles CSC's workforce in India.

Most of Convansys' business is in the financial services industry, but it also has offerings in telecommunications, health care, and it performs application development and software testing.

Hat tip: webwereld