With business process outsourcing (BPO) companies buying information technology (IT) services firms and IT services gearing up their BPO offering, many wondered if the days of pure-play BPO players are over. But the acquisition of Intelenet by UK-based group Serco tells a different story.

Investment bankers and industry analyst believe the IT/BPO space will see some more action. At present, at least, five over $500-million deals are being discussed for potential acquisition. Add to this another 10 in the range of $100 million are at various stage of discussion in both the IT and BPO space, said at least three investment bankers tracking the IT sector.