Outsourcing specialist Sigma Financial Group has been acquired by the UK arm of South Africa-based Digicall.
The firm, which last summer announced plans to bring 700 jobs to Birmingham, has been bought in an undisclosed deal by Sanclare (UK).
The acquisition does not affect those new Birmingham roles which are currently being recruited for.
Founded in January 2011, Sigma specialises in credit management and business outsourcing and currently employs around 400 staff in the city and Redditch.
It said the group had experienced significant growth through its 'white label' early arrears services in the telecommunications, utilities, retail and finance sectors.
The acquisition of Sigma is expected to grow considerably Sanclare's share of the domestic market and enhance its offering alongside its offshore capabilities based in Cape Town.
As part of the deal, Sigma's managing directors and co-founders Gary Gilburd and Mike Harfield will continue to lead the business under the new ownership alongside the current senior management team.
Chris Fisher, managing director at Sanclare, said: "This acquisition is exciting, not only for our existing clients who will benefit from the clear synergy between Sanclare and Sigma, but also those UK companies who are considering outsource for their current business model."
Mr Gilburd added: "Sanclare has first-class credentials in the market so I am delighted we have agreed a deal which will mean Sigma will go from strength to strength in the months and years ahead.
"We have experienced significant growth in scale and development over the past 18 months and, with Sanclare's support and expertise, it is a deal which can only be of benefit to our clients and our employees."