Convergys acquires outsourcing industry rival, now employs over 50,000 in Philippines

The Philippines is one of the top places for global businesses to outsource jobs such as customer service, technical support, and customer information management. It’s called the business process outsourcing (BPO) industry. This week, Convergys, one of the pioneer BPOs in the Philippines, announced it will acquire rival service Stream Global Services for an estimated Php 36 billion ($820 million).

With this acquisition, Convergys will benefit from Stream’s customer relationship management support. It also means it now has a larger client base. With both firms combined, Convergys will have about 53,000 employees in the Philippines.

In 2012, Convergys was the second biggest BPO in the country with over Php 17 billion ($37.9 million) in revenue. At the same time, Stream was in the eighth spot with over Php 6.7 billion ($14.9 million) in revenue.

This 2014, the Philippines is expected to provide 124,000 more jobs in this outsourcing sector, which is a good sign for the employment rate in the country.

(Sources: Inquirer | ABS-CBN)

(Editing by Steven Millward)