Mumbai, May 16: 3i Infotech will sell its US-based global billing and payment unit to an affiliate of Cerebus Capital Management, a private equity firm, for $137 million.

The billing and payment units that comprise J&B Software and Regulus Group were acquired by 3i Infotech in 2007 and 2008, respectively.

The ICICI Bank-backed company paid roughly $25 million for J&B Associates and $80 million for Regulus.

In a communication to the Bombay Stock Exchange, 3i Infotech said the transaction was expected to close in 60 days subject to regulatory clearances.

“The divestment reduces the leverage and strengthens the balance sheet of 3i Infotech,’ said managing director and global chief executive officer V. Srinivasan.

The sale is interesting especially as it helps the technology company to reduce its debt at a time there have been unconfirmed reports that IBM is looking at buying ICICI’s roughly 20 per cent stake in the company.

“This enables 3i Infotech to go back to its roots as a significant IT products and services player, while at the same time allowing the billings and payments unit to be acquired by an organisation interested in growing it as an independent company,” the company’s mergers and acquisitions head, Sripat Pandey, said.

Raymond James & Associates were the financial advisers to 3i Infotech.

3i Infotech provides IT and BPO services to 50 countries across five continents in banking, financial services, insurance, government, manufacturing, retail and telecom.

Srinivasan said the company did not plan to acquire a firm to expand its presence and would look only at the “organic growth model”.

The company will focus on achieving a deeper penetration in the market and is targeting banking and financial services to provide a fillip in this regard.

The 3i Infotech scrip today settled at Rs 49.80 on the BSE, down 0.40 per cent from its previous close of Rs 50.