Tata Consultancy Services has agreed to buy Co Donegal-based Pramerica Systems Ireland, a subsidiary of US based Prudential Financial Inc.  

Based in Letterkenny, Pramerica employs over 1,500 people and provides Prudential Finance with software and business support.

The companies said its enhanced partnership builds on a long relationship between the two organisations and will see Pramerica's staff in Donegal transfer to TCS.

Prudential Financial said it will retain the Pramerica Ireland entity, which will continue to operate from Letterkenny, and will focus on providing regional business services.

As part of its new global delivery centre in Ireland, Tata Consultancy Services said it will continue to provide PFI with a range of business, digital and technology services.

It also said it will expand TCS capabilities to provide the multifunctional, digital services and solutions to other customers in Ireland, the UK, Europe and the US. 

"Ireland is uniquely positioned to play a leading role in the digital economy and this key investment significantly strengthens our ability to provide nearshore services and meet the growth and transformation needs of our customers globally,' said K Krithivasan, President of TCS Banking, Financial Services and Insurance. 

"We warmly welcome Pramerica's employees into the TCS family. We are confident they will avail the immense career growth opportunities that TCS offers, and fully realise their potential," he added.

Stacey Goodman, Chief Information Officer of PFI, said the company was "incredibly proud" of the organisation its colleagues in Letterkenny have built and evolved over the past two decades. 

"This transaction is truly a win for everyone involved, advancing PFI's ongoing transformation process as well as TCS's strategic goals, while also providing exciting growth opportunities for Pramerica Ireland employees and the Letterkenny region," Stacey Goodman added.