1 November 2001
1 November 2001
XANSA AND BARCLAYS ANNOUNCE FUTURE JOINT VENTURE
MINIMUM COMMITMENT OF £124m REVENUE TO XANSA OVER 5 YEARS
Xansa, the Business Consulting, Information Technology and Outsourcing
company, today announced its intention to create a joint venture with Barclays
acting through Barclaycard, Europe's leading credit card issuer. This
innovative contract based on the principles of shared success sets a new
benchmark in IT outsourcing.
The venture is being set up to provide a broad range of services including
software development, support of existing business applications and the
management of future strategic technology developments for the Retail and
Commercial operations of Barclaycard. The new venture will be jointly owned
by Xansa and Barclays, with a shareholding split of 49:51 respectively.
Xansa will have operational and board control.
The joint venture builds upon the strong business relationship developed
between the two organisations over the past decade. It will focus on
delivering Barclaycard's business needs and has been structured to accommodate
future growth. The venture will deliver tangible benefits to Barclaycard
through Xansa's expertise in business transformation, exploitation of emerging
technologies and delivering major strategic programmes simultaneously.
The proposed minimum commitment will be for £124m over five years. The
venture will also have the capability to deliver further financial benefits to
both partners based on future expansion. As part of the joint venture around
450 jobs are expected to transfer to Xansa. No job losses are planned and it
is expected that negotiations will be completed by the end of the calendar
Gary Hoffman, Chief Executive at Barclaycard said:
'We chose Xansa because of their strong track record in delivering best value
and service excellence, together with a commitment to developing our people's
skills and offering them even broader career opportunities. Xansa and
Barclaycard have a well-established working relationship and in many ways, we
already feel like part of one team. The venture is a natural progression for
both of us.'
'Agility and flexibility are key if Barclaycard is to continue succeeding in
bringing products to market quickly, backed up with the outstanding service
our customers expect. This joint venture allows us to do just that by
focusing on delivering high value for the business through state-of-the-art
Steve Weston, Managing Director of Systems Integration at Xansa said:
'This contract plays to all our strengths by putting a sharper focus on
achieving Barclaycard critical business needs, improving efficiency by
combining best industry practice with proven world-class IT capabilities and
by providing significantly improved career opportunities and security for key
financial services IT professionals. I personally look forward to welcoming
our new colleagues, and to working with them to develop both Barclaycard and
Rosie Symons Ian Barber
Xansa Press Office Barclaycard Press Office
Tel: 01442 434088 Tel: 01604 258 299
Xansa is a company that transforms the business capability of its clients by
harnessing knowledge of selected industries and business processes with proven
skills in applying technology.
Xansa has four key areas of expertise: Business Consulting, Information
Technology, Outsourcing and Business Process Management, and operates in the
UK, North America, Continental Europe, India and Asia-Pacific.
Xansa is listed on the London Stock Exchange under the code XAN.
Barclaycard is Europe's leading issuer of credit cards. 7.9m customers in the
UK hold Barclaycards. 43% of UK adults have a credit card
Barclaycard was the first and is the UK's leading card services provider on
the Internet. Almost 600,000 customers regularly use Barclaycard's online
Despite the ten-fold increase in the number of different credit cards
available in the UK in the past five years, Barclaycard recruited a record
number of new customers in 2000 - 740,000 - and led the market in new customer