August 2008
« Jul   Sep »

Contact us

NEA Ventures invests in PreMedia

PreMedia Global Inc, a KPO (knowledge process outsourcing) firm in the high-end content services space, has raised fresh growth capital to fund its expansion into newer service areas and verticals. Promoted by the brother-sister duo of Kapil Viswanathan and Kami Narayan, children of late S. Viswanathan, who founded Bullet-maker Enfield, PreMedia has raised private equity to the tune of $ 4 million from NEA Indo-US Ventures. This comes on top of the $18 million that PreMedia received from JM Financial in January this year. Kapil Viswanathan said that fresh equity funds had come in at a ‘fair premium.’ Following the fund infusion, a nominee of NEA Indo-US Ventures has joined the board of the company. […]

ICICI Mezzanine Fund investing Rs 40 cr in MAS Financial

The Ahmedabad-based MAS Financial Services Ltd has announced an investment of Rs 40 crore from ICICI Venture’s Mezzanine Fund and said it is in the final stages of receiving $10 million from Dutch development bank FMO. The company plans to use the proceeds to augment Tier-I and Tier-II capital and fund its technology infrastructure investments, according to a release here. ICICI Venture’s investment is in the form of redeemable preference shares and warrants and will be classified as Tier-II capital, while FMO has invested through compulsorily convertible preference shares, which will form part of Tier-I capital. The company is engaged in semi-urban micro-lending besides having significant market presence in two- and three-wheelers and multi-utility vehicle financing for the last one decade. […]

Nitesh Estates to raise $100 mn from private equity funds

Bangalore-based realty developer Nitesh Estates plans to raise $100 million (Rs420 crore) from private equity firms in the next six months to fund its projects and enter new markets. This is the firm’s second round of fund raising. It has raised more than $250 million from Citigroup Inc. and $51 million from US-based hedge fund Och-ziff Capital Management Group in the past 12 months. “We will raise money in the holding company and enter new markets such as Pune, Kolkata and Hyderabad,” said managing director Nitesh Shetty. Last year, Nitesh Estates tied up with Citigroup to build shopping malls worth around $300 million in three-four year across southern India—in cities including Chennai, Thiruvananthapuram, Kochi and Bangalore. Citigroup has earlier partnered Nitesh for the Ritz-Carlton hotel project in Bangalore, and the two have another five-star hotel project in the pipeline, Shetty said. The company has now also floated its own construction subsidiary, Nisco Ventures. […]

FIIs, PEs to judge cos on environmental performance

With the growing stress on climate change, foreign institutional investors (FIIs) and private equity investors will soon take investment decisions based on the socio-environmental performance of domestic companies. Globally, the trend is already visible with the Carbon Disclosure Project with nearly $60 billion assets under management evaluating companies against the criteria of triple bottom line (environmental, social and economic parameters). Responding to calls from investors, the Johannesburg Stock Exchange launched the first of its kind exchange in an emerging market, the Socially Responsible Investment (SRI) index where it lists companies, which meet certain socio-environmental criteria, and are also evaluated on these parameters. The earnings to India from carbon credit is pegged between $0.5 billion to up to $1 billion per annum depending on how the carbon prices move, for the next 10-15 years […]

Foreign PEs may get less options now

Foreign private equity (PE) firms may be in for a jolt. If the government has its way, PE funds will not be allowed to invest in Indian retail companies which are franchisees of foreign brands. They will not even get to invest in retail companies where foreign investment is allowed. Currently, the Indian government allows global brands to invest up to 51% in Indian retail companies provided they sell all products in their outlets under a single brand. However, PEs will not get to invest even in this category because only the owner of the global brand is permitted to invest in the Indian company. The one exception to this may be food and beverage retail where 100% FDI is allowed. Whether foreign private equity funds can invest in retail companies, franchisee-led or foreign-owned, has been a grey area. […]