Private equity firm Oak Hill Capital Partners has halved its stake in ExlService Holdings, Inc. (a NASDAQ-listed business processing outsourcing firm) over the past three months through market sales. Oak Hill Capital has sold 17-18 per cent stake in the firm since September this year, realising $120 million in the process.
Oak Hill Capital, along with Financial Technology Ventures and ExlService management team, had acquired 100 per cent stake in the company from insurance firm Conseco, Inc. (now called CNO Financial Group) in 2002. ExlService was founded by former Bank of America executive Vikram Talwar and the current CEO Rohit Kapoor.
While Oak Hill sold 3 million shares at $23 each in September, it has sold 2 million shares at $25 apiece during the current round. Oak Hill, also a shareholder in Genpact, will now have a little over 17 per cent stake in the firm.
The share price of ExlService closed at $23.76 on Thursday, down 3.06 per cent. The share price has hit a 52-week high of $26.99 and low of $17.94.
ExlService reported 40 per cent increase in revenues to $257 million for the nine-month period ending September 2011, with net income rising 39 per cent during the same period to $25.5 million.
ExlService provides outsourcing services to industries including insurance, banking, financial services, utilities, transportation and travel. Its services include decision analytics, financial & risk management, operational & process excellence, re-engineering and integrated transaction processing.
ExlService started operations in 1999 and has delivery centres in India, the Philippines, the USA, the Czech Republic, Romania, Malaysia and Bulgaria, with sales offices in New York, New Jersey and London.
In June 2011, ExlService acquired Outsource Partners International (OPI), followed by Trumbull Services, LLC, in October.
