BANGALORE, India Software services provider MindTree said it is acquiring the design arm of Japan's Kyocera Wireless Corp.
MindTree said it will initially pay $6 million for the Kyocera unit and make additional payments based on future revenues through the 2011 fiscal year.
Formed in 2003, Kyocera India focuses on wireless product development, software engineering and product testing along with development of custom wireless handsets for Indian service providers.
The center, based here, employs about 600 engineers, and will continue to provide engineering services to Kyocera on a contract basis after completion of the acquisition, which MindTree expects to contribute about $9 million over the next six months, including 13-15 percent in profits.
"With the acquisition of Kyocera India we will be able to further strengthen our offerings in end-to-end design and technology services to wireless OEMs and service providers," said S. Janakiraman, president and group CEO of Mindtree's product engineering services unit.
K.C. Krishnadas is site editor of TechOnline India