HCL-owned security service firm HCL Security is said to be in talks with other security service providers in the US, the UK and Israel for a possible acquisition.

According to a source in the knowledge department, the company is eyeing security firms with a presence in surveillance systems such as closed circuit television cameras and under-vehicle surveillance equipment, and which earn revenues of up to $300 million. If the buyout takes place, it will be funded through a mix of debt, internal accruals and private equity placement.

HCL Security vice-president V Rajendren, said, "With a view to get the best technology into India, we are looking at tie-ups and acquisitions in the security services space globally. The discussions with overseas firms are on and we hope to clinch a good deal in the near future," reports the Economic Times.

Rajendren said, “Post-Mumbai terror strikes, companies across sectors are taking measures to beef up security within the office premises. We intend to meet the growing demand by getting high-end products into India.”

The potency of the Indian security market can be gauged from the fact that the market for guarding and non-guarding services is growing at 30-35 per cent year on year and is currently worth $1.6 billion (Rs 8,000 crore). The global security market is estimated at more than $100 billion.

With an eye on these figures, HCL is planning to install a manufacturing base in the country, for which it may forge a joint venture with US-based integrated security solution provider L3 Communications. At present, HCL has a distribution tie-up with the US security firm. X