TORONTO — The $200-million takeover of Minacs Worldwide Inc. by TransWorks Information Services of India will not result in jobs being shifted to the South Asian country, says the Canadian call-centre firm’s top executive.
Minacs CEO Bruce Simmonds moved to dampen speculation the Mumbai-based TransWorks, a business outsourcing giant, could transfer a portion of Minacs 6,000 jobs to India’s thriving, lower-cost sector.
"It’s not even something that’s expected to be contemplated at any time," Simmonds said Monday in an interview.
"The main reason they are buying us is for that onshore (North American) capability, so the last thing they want to do is take a premium onshore piece of the business, discharged in Canada and the United States, and move it to a lower-cost venue."
Late last year, Minacs announced a streamlining plan, including the closure of one call centre site, predicting $3.2 million in annual savings.
Simmonds said that restructuring was comprehensive and the company may even exceed its own cost-savings target. But he stressed that no other major cuts were planned:
"Anything we do would be what I would consider or categorize as fine tuning," Simmonds said. The Toronto-based firm, whose founder Elaine Minacs recently died of cancer, announced late Friday it had agreed to be acquired by a subsidiary of TransWorks, which is offering $5.50 per Minacs share in cash...
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