Mumbai-based software services firm Geometric has confirmed that its European division has acquired German firm 3Cap Technologies for 11 million euros (Rs 79.19 crore).

Of the Euro 11 million, Euro 7.5 million will be paid up front, while the balance payments will be subject to earn-outs over a maximum period of three years. The acquisition will be funded via cash accruals.

Announcing the deal, Geometric CEO Manu Parpia said, "This acquisition represents an important step in our strategy to provide greater capability and more comprehensive solutions in the digital product realisation space to our customers."

Munich, Germany-based 3Cap Technologies is a professional expert in providing electronics engineering services, such as embedded systems development verification & validation and calibration in power-train and chassis areas, for the automotive industry. In 2012, it generated revenues of around Euros 11 million. In Germany, 3Cap has a workforce of more than 110 people and has seven customers.

On the other hand, Geometric is a specialist in mechanical engineering services and well as engineering software. Nearly 70 per cent of its total revenues come from the U. S. market. In the year to March 2012, Geometric generated consolidated revenues of Rs 808 crore.

The acquisition is effective January 1, 2013.