GSS America Infotech files DRHP with SEBI

Hyderabad, Andhra Pradesh, India

GSS America Infotech Limited, a leading Global IT Services company focused on providing scalable and cost-effective solutions using global delivery model, has filed its Draft Red Herring Prospectus (DRHP) with Securities & Exchange Board of India (SEBI) to enter the capital market with an initial public offering of Equity Shares.

The Company proposes to offer 34,97,495 Equity Shares of Rs. 10 each ("Issue"). The issue comprises of a net issue of 33,40,000 Equity Shares of Rs. 10 each to the public ("Net Issue") and up to 1,57,495 Equity Shares of Rs. 10 each will be reserved for subscription by eligible employees. The Issue will constitute 26.30% of the post-Issue capital of the Company. The Issue is being made through a 100% Book Building Process.

GSS America has been making exponential progress over the last four years. The company has achieved a turnover of Rs. 116 crores for the first nine months ending December 31st, 2006 as compared to Rs 63 crores achieved for the full financial year 2005-2006. The company has been growing at over 160% compared to previous year.

GSS America Infotech is planning to invest in a 1,000-seater off-shore facility with a capital outlay of about Rs. 61 crores in Hyderabad. To finance its expansion plans - both organic and inorganic, the company is planning to raise about Rs 120 crores from the capital market.

GSS America is a niche player in the area of Enterprise Application Integration and Infrastructure Management Services. Mr. Bhargav Marepally, CMD & CEO of GSS America said, "There is good scope for the growth of the company as it is looking to expand its already established businesses, especially in IT Infrastructure Services and Enterprise Application Integration. We look forward to creating niche markets for our company both by organic and inorganic routes."

GSS America has recently placed its equity on a pre-IPO basis to leading Financial and Venture Capital Institutions like IL&FS and other private investors to the extent of Rs 35 crores.

The Draft Red Herring Prospectus is available on the website of GSS America InfoTech Website www.gssamerica.com.

Source: GSS America Infotech Ltd (Business Wire India)

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