Date:05/11/2004 URL: http://www.thehindubusinessline.com/2004/11/05/stories/2004110502661900.htm

Back S&P chooses Hyderabad for back-office operations

V. Rishi Kumar

Hyderabad , Nov. 4

STANDARD&POOR'S, a major credit rating agency and part of the $4.8-billion McGraw Hill Group, has zeroed in on Hyderabad to locate its information technology enabled services (ITES) arm. This move is a follow-up of the NYSE-listed company's recent acquisition of Capital IQ in September, which has a global support centre in Hyderabad.

A team of senior officials from McGraw Hill, Standard &Poor's and Capital IQ visited Hyderabad and met with the State Chief Minister, Dr Y. S. Rajashekhara Reddy.

The team included the Executive Vice-President of McGraw Hill Companies, Mr Deven Sharma, the President of Standard&Poor's, Ms Kathleen A. Corbet, the Head of Asia Pacific Operations of Standard&Poor's, Mr Tom Schiller, and the Director of Capital IQ, Mr Madan Mohan.

Speaking to Business Line, Mr Madan Mohan said, "We met with the Chief Minister and conveyed our plans for Indian operations. The Chairman of Standard&Poor's is set to visit early next year and announce the company plans for India and particularly, the company's ITES operations."

Confirming the acquisition of the parent firm Capital IQ by Standard &Poor's, Mr Madan Mohan said, "Earlier this year, we had announced plans to expand our Indian operations based at Hyderabad from about 300 people to 700."

"Standard&Poor's and Capital IQ have complimentary products and therefore, we expect this to be a perfect fit for both companies. However, details of the company's overall investments and plans would be announced later when the company Chairman visits India," he said.

McGraw Hill is one of the top five publishers of the world with global revenues of $4.8 billion functioning as the McGraw Publishing Company since 1902. The BtoB magazine recognised the strength of the corporation and the success of its strategy by naming McGraw Hill Companies as the number one company on its list of top 10 business media powerhouses.

During their interface with Dr Reddy, the visiting delegation conveyed their intent to locate an ITES operation in Hyderabad to support its education division.

This was possible through the acquisition of Capital IQ, which has Operations in Hyderabad. The Government is learnt to have extended the necessary support to enable them to expand operations.