Capita Group (CPI.L) is to acquire Allied Irish Bank Group's the international financial services business in a cash deal worth £29 million.

The business provides a number of outsourced services to financial institutions and corporate clients and will be integrated into Capita's investor and banking services division.

According to Capita, on a pro forma basis, the business made an operating profit for the year to 31 December 2010 of £6.2 million on a turnover of £24 million.

Paul Pindar, chief executive of the Capita Group, said the acquisition was an 'excellent strategic fit'.

He said, 'It fully complements our existing business in terms of services, client base and professional staff, while also providing Capita with the opportunity to further develop its client proposition within the financial services industry.

'The acquisition will strengthen our service offering to both clients and business prospects alike.'

The Dublin-headquartered business currently employs around 160 people in a number of locations across Europe.

To receive more relevant articles like this one, why not sign up to our weekly newsletters, click here