Swedish financial-services firm, Skandia, which had become a part of the Old Mutual Group last year, is on the verge of signing a multiyear integrated IT-BPO services contract with HCL Technologies (one of the top five offshore IT-services firms based in India) according to reports in the Indian media. While HCL has not confirmed the news, Reuters India has reported that the two companies are close to signing a $400 million deal. Indian newspaper The Economic Times reports that the deal has already been signed, and has estimated the deal size at $780 million.

Skandia was formed in Sweden in 1855, and was taken over by Old Mutual in 2005. It focuses on advising consumers on savings solutions and designing products to meet their requirements.

The deal, if signed, would be one of the biggest to go to an offshore service provider. Even at $400 million, it would be far bigger than the $260 million ABN Amro contract awarded to TCS last year and the $330 million contract awarded by GSG International to HCL in January this year.

Interestingly, most of the large ($100 million plus) deals bagged by the offshore vendors have come from Europe, a relatively newer market for most of them.