Wipro buys German Firm Cellent

Wipro Ltd has bought Cellent AG, a German Technology company that implements and maintains SAP (systems applications and products) software for clients in automobile and manufacturing segments, for $78 Million. The purchase is the latest move by India’s third largest software firm to scale up its business in the DACH or Germany, Austria and Switzerland of Western Europe.

This is Bengaluru based Wipro second purchase in the region this year. It bought Denmark based Designit for $95 Million in July to strengthen its presence in the digital space. Cellent is a well-established player with marquee customers, a well-known brand and has strong local talent. Cellent client include marquee car maker Daimler AG and lens maker Carl Zeiss AG and SAP is a business software used to run basic functions in finance, human resources and manufacturing.

Wipro bought Cellent from its parent firm, German bank Landesbank Baden-Wuerttemberg. Wipro will also see Cellent’s more than 800 consultants join the firm even as it expects to close the acquisition by the fourth quarter of 2015-16. Many buyouts by homegrown information technology firm this year are in the SAP space. Earlier this year, Infosys paid $200 Million to buy automation technology provider Panaya.

Mid-tier Bengaluru based software exported Mindtree bought UK based Bluefin Solutions, which helps migrate SAP installed software, like ERP to the cloud. Wipro 8000 strong manufacturing and hi-tech segment is the second largest industry vertical, behind banking and finance. 

Apollo Tyres acquires Germany Reifencom

After having failed to acquire the US based Cooper Tire in a $2.5 Billion deal, the country second largest tyre manufacturer by Sales, Apollo Tyres had acquired Reifencom GmBH, one of the largest tyre distributors in Germany for Euro 45.6 Million.

Reifencom GmBH has an online presence in six countries – Germany, France, Italy, Austria, Switzerland, and Denmark. In Addition, it operates 37 stores and service centres across Germany. Acquisition will enable Apollo to improve its mix of distribution channels in Germany and Europe and aid in increasing the visibility of Apollo and Vredestein tyres offline and especially in the fast growing online retail space.

Reifencom has turnover of 147 Million euro in 2014. The acquisition will give Apollo two benefits: increase in number of channels overseas as well as access to retailing multiple brands. Apollo already has 3,500 dealers/partners in Europe which will now get further enhanced due to the acquisition of Reifencom.

The success of Reifencom GmBH is attributed to its highly efficient logistics system, which ensures there is a guarantee of a high degree of availability of all kinds of tyres and rims, even during busy periods like spring and autumn. Reifencom GmBH procures tyres and rims from leading manufacturers thereby ensuring a high level of quality.

Mylan acquired Famy Care Business

Mylan Inc. is a global generic and specialty pharmaceuticals company headquartered in Pennsylvania. In 2007, Mylan acquired a controlling interest in India based Matrix Laboratories Limited, a top producer of generic drugs, and the generic business of Germany based Merck KGaA. Through these acquisitions, Mylan has grown from the third largest generic company in United States to the second largest generic and Pharmaceuticals Company in the world.

Recently, Indian subsidiary Mylan Laboratories Limited, signed a definitive agreement to acquire certain female health care businesses from Famy Care Limited, a specialty women’s health care company with global leadership in generic oral contraceptive products for $750 Million in cash plus additional contingent payments of up to $50 Million. The acquisition will build on Mylan existing partnerships with Famy care in North America, Europe, and Australia.

Famy Care, headquartered in Mumbai, India, offers a comprehensive range of women’s health products including oral and injectable contraceptives, intra-uterine devices (IUDs), tubal rings, and hormone replacement therapy products. More than 15% of the world women using oral contraceptive pills today use a Famy Care product. It is the world largest producer of generic OCPs, with four high quality-manufacturing facilities in India, two of which have been approved by U.S. Food and Drug Administration (FDA) and the European Union.

Famy Care is the first generics company to have received prequalification from the WHO for hormonal contraceptives. This manufacturing base represents one of the lowest cost and largest dedicated to OCPs globally, and brings Mylan Strong capabilities in OCP cycles, injectable, IUDs, and tubal rings. Famy Care has a strong presence in the private, institutional, and non-governmental organization sectors and markets its products in more than 90 countries around the world.

Rocket's Indian Firms expanding Globally

Rocket Internet is one of the world largest e-commerce venture capital firms. Samwer Brothers started it in 2007 in Germany. The founders gained visibility through successful investments in eBay, Groupon, Facebook, Jabong, LinkedIn, and Zynga. The company business model is to find successful internet ventures from other countries and replicate them in emerging markets.

Rocket Internet operates in more than 50 countries and has more than 75 ventures such as Zolando in Germany; Lamoda in Russia, Zalora in South East Asia, Iconic in Australia, global food delivery sites Foodpanda, and property listing sites Lamudi and Carmudi. In India, Rocket Internet operates Jabong and Printvenue. Rocket Internet wants to be world largest e-commerce platform outside the U.S and China. By the end of this year, Rocket Internet Group may close its initial public offering. It would be second e-commerce firm IPO this year, after Alibaba.

One of the Indian E-commerce firms Printvenue plans to start operations in Australia with a team of marketing, content, and sourcing. There is no competitive environment in Australia for the company. It will soon be seen in Asia-Pacific Region such as South East and Middle East too. Over the next four five years, Printvenue plans to venture into Europe, and Latin America. Printvenue is already operating in Singapore with a small team.

Earlier this month, German venture capital group decided to take online fashion retailer Jabong.com to a global platform by merging it with four other such businesses in Latin America, Russia, Middle East, South East Asia, and Australia. Jabong has also opened an office in London where a team of 15-20 people will design its private label. These steps of Rocket Internet taking portfolio companies global were always on its agenda and these are linked to upcoming IPO.

Its global online food-ordering firm, Foodpanda is continuously expanding into developing markets. Foodpanda is present in more than 45 countries across Asia, Africa, Eastern Europe, Middle East, and Latin America. After Jack Ma Alibaba, soon people will see Billionaires from Germany and Rocket Internet world largest e-commerce venture capitalist firm.