The Chatterjee Group, which has three software outfits in India besides a BPO operation, is planning to consolidate these four companies into a single unit, according to sources within the company.

The combined entity, when it emerges, will have a topline of nearly $45 million. This is yet another indication that small specialised companies are finding it difficult to get clients. No official comments were available from the company on these moves.

If this consolidation happens, the entity will have a complete breadth of services for its clients. TCG-Ivega will offer the regular BFSI focussed solutions, while the other business units will offer healthcare, aviation, security and infrastructure management expertise, besides BPO services.

"The combined group will be considering an IPO and also be looking for private equity as a precursor to the IPO," the source noted.

The Chatterjee Group is a New York-based investment firm managing funds in excess of $2 billion. The group has a history of investments in technology, telecommunications and asset creation.

TCG has a high-profile 49:51 joint venture with Computer Associates called CA TCG Software (CATS), which offers security and infrastructure management services. It is learnt that with CA increasing their direct presence in India, it is likely that TCG will be buying them out in this joint venture.

TCG has another joint venture with United Airlines called SkyTech Solutions, which is into providing solutions for the aviation and hospitality industries.

It is learnt that in the new combined entity, TCG would want to retain United Airlines as an equity partner. TCG, in addition to this, has a presence in the business process outsourcing through a company called Equinox which offers its services to the financial services sector.

Sources in the company said that with TCG Software acquiring Bangalore-based Ivega Corporation to form TCG-Ivega with revenues of $22 million, TCG is looking at gaining scale. CATS currently has a topline of nearly $7 million, SkyTech around $12 million and Equinox close to $3 million.

The meeting to chalk out a strategy on bringing about synergy between the merging entities is expected to held within this month and "if things go as planned the new company will be in place within the end of this fiscal." It will have a professional strength of around 1,500 to start with.

Company officials indicated that Purnendu Chatterjee, chairman of The Chatterjee Group, is keen on this consolidation so as to raise his profile in the Indian software sector.

CATS already has an extensive development infrastructure in Kolkata, while SkyTech has its units in Kolkata and Mumbai. TCG-Ivega is present in Bangalore and Kolkata.