Financial Software and Systems (FSS) inaugurated its development facility at the SIPCOT industrial estate in Chennai on Friday. The company owns 10 acre at the estate and plans to construct a three-lakh-sqft facility over the next three years.

The first phase of the centre is now complete over one-lakh-sqft with an investment of Rs 50 crore. The current setup has a capacity to house 1,500 employees.

FSS specialises in end-to-end transaction processing and payment solutions. Its areas of operations include transaction switching and payment systems; debit, prepaid, smart and credit card processing; front-end devices, host systems and interchanges, and internet and mobile payments. FSS generates revenue from two divisions namely FSSTechnologies (sale of software products and domain-related technical services) and FSSNeT (third party hosted services as an independent third party processor and deployer).

“We have worked with almost all the major banks in the country. Our clientele includes about 30 Indian banks and 35 international customers,” said Nagaraj Mylandla, managing director of FSS. “Over 80 per cent of our revenue comes from the domestic market at present and the rest is from our international customers. In the next two years, we are planning to make the ratio 60:40.”

The company has invested about Rs 125 crore in the last one year on infrastructure expansions and it would further invest Rs 250 crore over the next two years, he added. For fiscal 2010, FSS has reported Rs 230-crore revenue. The company is projecting Rs 320 crore for this fiscal. It also plans to increase its headcount from the present 1,100 employees to 1,800 by 2011.