Omnitech Infosolutions: Seeking inorganic growth

The fiscal started on a slow note for Omnitech Infosolutions with AMJ
garnering only Rs 7 crore, but it soon picked up momentum with JAS and OND
pitching in Rs 11 crore and Rs 13 crore respectively. But the best was yet to
come and JFM garnered the company Rs 16 crore.

The enterprise segment is the principal buying vertical for Omnitech bringing
in 64% of its overall revenues. SMB followed next with 15% with government
business coming a close third at 13%. The SOHO segment made up for a marginal
3%.

In March 2004, Omnitech tied up with Mumbai-based Adventure Systems
Incorporated, whose integral competencies are software engineering and quality
consulting, which includes testing. Some of its Indian clients are Wockhardt,
SOTC, Accenture and Rolta; companies which do not have the core testing
skillsets.

Last fiscal, Omnitech bagged a lucrative project from Griffin Marine. Under
the three-year contract, it will offer backend infrastructure management
services (IMS) for the entire backend of the company. The project, which went
underway in March, was to be set up in three locations-Manila, Hong Kong and
Singapore. Omnitech will have to set up the services in 22 cities by the end of
the contract.

When IBM introduced two new plans for its partners-Express Activation plan
and Business Partner Enablement plan-it promptly signed up Omnitech for both.
These programs allow Omnitech's business partners to develop solutions around
the software applications already available under the Express offerings. The
plans also enable the partners to use IBM resources, including a direct access
to the innovation center for business partners, situated in Bangalore.

The solution provider is setting up a 1,45,000 square foot technology center
in Mumbai with an investment of Rs 8 crore. This building will house the
corporate office of the company, a proof of concept center (PoC) as well as
divisions for showcasing and finalizing project execution processes for
customers.

It will also house a nine-seater network operations center (NOC) on the
premises to offer remote management services to Omnitech´s international
clients. The company also tied up with Computer Associates as its regional SI
partner and will soon set up a center of excellence for CA´s products at this
Mumbai facility. The building will also have an independent test lab for
Rational and other niche products as well.

Since the company is planning on inorganic growth, it would have to look at
takeovers to achieve this growth. Omnitech has hired a consulting firm to seek
profitable SMB companies that have a live customer base and 100% on-site
services model built around providing infrastructure management services.

In systems integration, Omnitech provides a host of solutions that range from
data center solutions to Linux-based, Citrix-based and server consolidation
also. While, in software, it offers framework solutions. Other solutions are its
own, which are OmniManageIT (Asset Management Suite), OmniBusinessIT (CRM), Omni
Audit (Asset tracking tool) and Omni Transport.

The solution provider is also known for the services that it offers. It
provides facilities management, disaster recovery services and information
security services. That apart it provides consulting for solutions to be
deployed in companies.