Updated from 12:05 p.m. EDT

Wipro

(WIT) - Get Report

is buying

Enabler

, a European IT services and consulting business for the retail sector, the company said Thursday.

Indian-based Wipro is paying $52.2 million in cash and cash equivalents (on the balance sheet) for the company, as well as earnouts if the company meets agreed financial targets over two years. The deal is expected to close in a month.

Located in Portugal and Brazil, Enabler's 300 employees work with customers in those two countries plus the U.K., Germany, France, Spain, Italy and the Middle East. Enabler's 2005 sales totaled nearly $38 million, and the company is profitable.

"Retail industry is one of the largest and fastest-growing sectors in the enterprise solutions market for Wipro," Sudip Banerjee, president of enterprise solutions said in a statement. "Enabler's proven and reference-able track record in retail domain consulting and package implementation skills helps us strengthen our position as a preferred solutions provider to large retailers globally."

Wipro shares dipped 8 cents, or 0.7%, to $11.91 in recent trading.