|
|
Key Safety System (KSS), $1-billion US automotive safety component maker, has taken 50% equity in Delhi-based Abhishek Auto Industries for an undisclosed amount. KSS — maker of safety components like airbags, seat-belts, inflators, steering wheels and electronic systems — will invest $20 million in the next three years as part of the joint venture with Abhishek Auto. This will help expand its manufacturing operations in India. The company, which is a supplier to original equipment manufacturers (OEMs) like Audi, Chrylser and Toyota, is planning to extend its customer base to include German car maker Volkswagen and French car maker Renault. Both companies have recently started operations in India. […]
Sudhir Sethi, managing director of IDG Ventures India, has seen 551 potential investee companies since September last year. His $150 million fund has invested in 3 and hopes to complete 4 more investments by the end of this year. But, feels Sethi, as much as individual entrepreneurship is thriving, existing companies with a few out-of-the-box ideas are also not averse to spinning out new entities from the parent company, unleashing tremendous value in the process. The beneficiaries: venture capitalists (VC) like Sethi, who are inevitably invited to share in the growth, and at a later date, the spoils from these spin-offs. In June this year, Sasken Communication Technologies spun out ConnectM, with Sasken and Sethi’s IDG Ventures jointly investing $6 million in the venture. The new company offers machine-to-machine solutions in the transportation, industrials, utilities and enterprise markets. […]
Even as private equity (PE) funds pour billions of dollars into India, the average size of a PE deal in the country stands at a meagre $18.5 million. Not only that, it has grown marginally from the average deal size of $14.96 million last year. According to data by Thomson Financial, there have been 178 deals worth $3.3 billion struck this year till mid October, with an average deal size of $18.56 million. In 2005, 73 deals worth $1.17 billion were struck with an average deal size of $16.03 million. The average deal size plunged in 2006 to $14.96 million when a total of 155 deals worth $2.3 billion were struck. “Though there have been a few large PE transactions in India and the total amount of PE funding has significantly increased in the last few years, the average size of a PE deal in India has remained more or less stagnant. This means that while there have been a few large PE deals, the bulk of the deals continue to be very small,” Bain & Co India partner Sri Rajan said. […]
Brokerage house India Infoline is looking at a Rs 200 crore private-equity funding for its recently started consumer finance subsidiary, a senior company official said on Tuesday. The deal is expected to be concluded this quarter. “We are talking to several private-equity players of repute, though nothing has been finalised. We expect to conclude the transaction during the current quarter,” chairman and managing director Nirmal Jain told analysts after declaring its July-September quarter results. Last quarter, from distribution of retail finance products like personal and home loans for other banks, India Infoline entered the personal finance space on its own through Moneyline brand. During the quarter, it managed a book size of Rs 25 crore and has suffered a loss of Rs 5.5 crore. It expects to break even in 2-3 quarters. Overall for the quarter, India Infoline reported revenues of Rs 195 crore, up 146% from a year ago, and 46% from sequentially. Net profit rose 157% on-year to Rs 36 crore. […]
U.S. investment bank Goldman Sachs and Australia's Macquarie are close to buying 40 percent in the investment arm of state-run PTC India for about 1.2 billion rupees ($30 million), the Economic Times said on Friday. “We have reached an advanced stage of negotiations. But I would not like to comment on the details at this point,” the company's chairman, T.N. Thakur, told the paper. Quoting sources close the development, the paper said the deal would be signed shortly, with Goldman Sachs and Macquarie to each take a 20 percent stake in PTC Financial Services. Goldman Sachs spokesman Edward Naylor declined comment while a spokeswoman at Macquarie could not be reached. ( Reuters) […]
3i Group Plc, Europe's biggest publicly traded buyout and venture capital firm, is believed to have acquired about 10% stake in Adani Power Ltd., for Rs9bn (US$227mn). Adani Power is a subsidiary of Adani Enterprise Ltd. 3i has made the investment in Adani Power through its subsidiary 3i IIF GP Ltd., which was set up in a partnership agreement with India Infrastructure Finance Company Ltd. (IIFCL) last April. Adani Power is currently implementing a 1,320-MW (4X330 MW) coal-based power plant at Mundra, where Adani Enterprise is planning to build a port-based Special Economic Zone (SEZ). It is planning another plant of similar size at the same location. The project, launched in June 2006, is expected to become operational by 2009 and achieve full capacity by the close of 2010. The total cost of the 2,640-MW project is estimated to be over Rs100bn. […]
Extramarks.com, an online education model that offers ‘after-school’ academic support to students, plans to raise $5-million (around Rs 20 crore) venture capital fund to fuel its growth plans. Promoted by Noida-based international BPO company Cleaveglobal E-Services Limited, the portal is in talks with three venture capital firms and is expected to close a deal soon. According to Atul Kulshrestha, founder-director and chairman of Cleaveglobal, the company intends to utilise these funds to invest in enhancing the existing infrastructure and launching the model in the UK and US in the next six months, besides introducing syllabus for higher education including engineering and curricula of state educational boards. “Our idea is to create a networked community between students, teachers and parents. Students can communicate and interact with their peers across the country, ask questions and answer among themselves, and can even interact with teachers for realtime subject expert guidance,” he said. […]
GVFL, India’s pioneer Venture Capital Company today announced an investment of Rs. 40 million in Sahajanand Laser Technology Limited, India’s one of the largest manufacturers of Laser Systems for Diamond Industry. GVFL will make the investment from its Rs. 296 million Gujarat IT Fund. Sahajanand Laser Technology based in Gandhinagar will be utilizing the funds in the expansion of their range of high – end laser machines. “Picking up innovative technology companies early and nurturing them to leadership is GVFL’s forte. Sahajanand Laser pioneered the laser technology for diamond industry in India. With India emerging as “the global destination for diamond cutting and adding value to small and very small diamond “roughs”, Sahajanand has the potential to become a definite winner with GVFL’s effective nurturing and constant support,” says Mr. Vishnu Varshney, CEO of GVFL Ltd. […]
Myntra, a consumer internet start-up aimed at revolutionizing the personalized gifting and merchandise space in India, announced today that it has secured seed funding from Erasmic Venture Fund and a few other angel investors. As part of the investment, Erasmic has nominated one member to the board of directors. Sasha Mirchandani of Mumbai Angels has also joined the board. The funds will be used for procuring advanced technology for on-demand printing, scaling up the operations, and undertaking new marketing initiatives. “We believe that these funds will help us significantly improve the customer experience and offer best quality personalized merchandise in India” says Myntra CEO Mukesh Bansal. Myntra launched its beta website www.myntra.com in May this year and has undertaken various initiatives to significantly enhance its operational capabilities and online user experience. Myntra now has a fast-growing designer community which has enabled it to publish thousands of unique designs on its website. The company was self funded until now and has built the basic foundation before procuring external funding in this round. […]
Companies from US, Europe and Australia are among 15 firms in the race to acquire a stake in India's No. 3 asset management firm, UTI, ahead of an IPO, its chairman said. Asset Management Co, with a corpus of Rs 45,000 crore ($11.4 billion) at the end of September, aims to sell 20% of the firm before the IPO, the first by an Indian asset manager. “We are going to issue 10 million additional shares through private placement,” chairman UK Sinha said. He said companies from US, Europe, Australia, Southeast Asia and the Middle East had approached the fund house for the pre-IPO placement. No company will be offered more than 5%, he said. Sinha said UTI would appoint bankers for the IPO in the first week of November, but did not say how much he expected to raise. […]
|
Post your messages.Please refrain from posting offensive messages. IndiaPE accepts no liability for the consequences of your reliance on these postings and messages.
|