The firms are seeking to leverage each other's capabilities to expand global distribution.

Linedata, a global solutions provider to the investment management industry, has agreed to acquire Gravitas, a services provider to asset managers, for an undisclosed sum.

Asset management firms, in particular alternative managers, are increasingly seeking to outsource their middle- and back-office operations to partners that can leverage technology solutions, Paris-headquartered Linedata said in a statement.

Gravitas has more than 80 staff in the US, where it supports over 80 asset managers, and 180 in India. In 2016, the firm generated revenues of $26.5 million.

By combining its software platforms with Gravitas’ outsourced services, Linedata will offer tailored services to suit its clients’ business models and requirements, the latter firm said. As a result of the merger, Gravitas will leverage Linedata’s global presence to distribute its services worldwide.

"We are delighted to welcome Gravitas’ clients and employees into Linedata. Gravitas’ award-winning outsourcing services, combined with our technology platform, will enable us to accelerate our ambitious and innovative Linedata 2018 growth strategy," said Linedata founder and chief executive Anvaraly Jiva.

Gravitas' founder and CEO, Jayesh Punater, added: "Linedata's technologies and global reach will bring us genuine and unique abilities to extend and improve our range of services."