Indian technology companies are on the acquisition trail and are looking for British IT businesses to help them gain a foothold in Europe, according to advisers Clearwater Corporate Finance.

The company, specialists in the outsourcing industry, is currently conducting M&A research in the country following last week’s £441m bid by HCL for British Axon.

The Clearwater research will encompass all the big names including Infosys, Wipro, TCS, Mindtree and Patni amongst others.

Clearwater’s technology analyst Emma Leathley says: “Over the past couple of years we have heard repeated assertions that Indian technology businesses were on their way over to the UK but the mass landing has so far failed to materialise. We have seen big acquisitions in pharmaceuticals, automotive and steel but not in the technology sector.

“All that is about to change. Prices have returned to more realistic levels and Indian companies are keen to take advantage of this to acquire British IT firms that can expand in the European market in line with their long-term growth plans. The HCL Technologies deal could be the first of many.”