KAZ Computer Services has halted trading on the Australian Stock Exchange pending an announcement concerning the possibility of acquiring AMP's superannuation funds administration business, AAS.
It is understood KAZ Computer Services will be offering the insurance giant around $75 million for the acquisition, which would effectively see an outsourced IT provider purchase the business it serviced.
KAZ has been the IT provider for AAS for more than 10 years through a range of initiatives. It has provided outsourcing and facilities management, desktop services, application development, maintenance and support, imaging and workflow, project management, Internet services, networking and strategic consulting to the administration business.
AAS general manager Graham Giannini told ARN that until later next week any statement would be a "hopeful best guess" as the two companies are only in the stage of early discussions. He said nothing has yet been signed or agreed upon, thus any public comment would be a breach of the ASX listing rules. KAZ spokespeople have also been instructed not to comment on the rumours.
It has been an eventful week for KAZ Computer Services, with the company also announcing it has won a two-year business process outsourcing contract with David Jones to process all the application forms for the David Jones Card. The contract will be serviced by KAZ's 100 per cent owned subsidiary, Ausdata.