HCL Technologies has announced that it has signed a five-year $500 million deal with pharmaceutical giant MSD (also known as Merck & Co).

HCL will build on its existing relationship with MSD, dating back to 2004, to offer the company software-led information technology solutions, remote infrastructure management, engineering and business and knowledge process services.

Under the terms of the deal, Merck will leverage HCL's near-shore delivery network in the US, comprising an operations centre in Raleigh, North Carolina and its global data centre delivery ecosystem, supported by global partner footprints. In all, HCL will deliver services to MSD out of 20 worldwide locations, including in the US, Poland, China and Brazil. The company plans to expand its team in North Carolina, relying on local hires to staff projects.

“For five years, MSD has leveraged HCL’s extensive expertise in life sciences and healthcare to streamline operational efficiencies and consolidate its IT portfolio,” said Richard Branton, vice president of application services for MSD. "As we continue to leverage global delivery services to meet our business imperatives, we have chosen HCL as our strategic partner for its depth of technology and pharmaceutical domain experience, coupled with its flexibility to engage and a commitment to deliver.”

"This is a landmark win for HCL, and we are proud that our growing leadership in pharmaceutical and healthcare, coupled with our previous delivery for MSD, has positioned HCL as a strategic partner for MSD,” said Shami Khorana, president of HCL Americas.  “We are committed to creating transformational value for MSD in this engagement and we look forward to playing a key role in the organization’s growth across global markets."

The life sciences division contributed 7.5 per cent to HCL’s revenue in the third quarter ended March 31.