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Infosys Seen Needing French Deal to Lift Value: Real M&A

Infosys Ltd., India’s second-largest software-services exporter, is seeking European acquisitions as it trades at its lowest valuation since the financial crisis. That’s turning French companies from Sword Group to GFI Informatique into potential targets.

Infosys, whose $4 billion cash pile is the biggest among India’s computer-services providers, said last month it’s looking for a European deal after its annual sales forecast trailed analysts’ estimates. With growth curbed by competition, the Bangalore-based company is trading at 15.9 times earnings, the lowest since the aftermath of Lehman Brothers Holdings Inc.’s collapse, according to weekly data compiled by Bloomberg.