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Frontline Ventures invested $40 million in Futura Infraprojects

Mumbai-based infrastructure and real estate firm Futura Infraprojects has offloaded 10 per cent equity stake to US-based private equity major Frontline Ventures for $40 million (Rs 160 crore). Separately, the company is planning to raise around Rs 250 crore through a public float that is expected to hit the markets by August. The company intends to use the proceeds from the private placement and the initial public offering (IPO) for its expansion plans. The company is likely to file the draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (Sebi) in May. […]

Goose Tech to raise $2mn VC funding

Goose Technologies Private Limited, a Hyderabad-based provider of delivery risk management solutions, plans to raise around $2-million (Rs 8 crore) venture capital fund, said founder and chief executive officer, Debasish Pattnaik. Announcing the launch of Procon, the three-year-old company’s maiden risk management solution for global delivery here on Wednesday, he said they were in talks with a couple of venture capital firms to support the development of new solutions, besides expansion of its overseas sales and marketing operations. Goose Tech, which received an early stage funding from Agnus Ventures, had spent close to two years on developing Procon that enables global enterprises to have real-time visibility and predictability of key performance indicators (KPIs) at different aggregated levels and functional areas. It has a built-in prediction engine that offers future trend of potential risk factors. Besides, it offers an advance analytical engine for risk mitigation. The per-user price of Procon is around $1,000. […]

Bharti Airtel to dilute stake in tower biz

Bharti Airtel is planning to sell some more tower units in the Bharti group`s tower company, Bharti Infratel, reports DNA. Bharti Airtel joint managing director Akhil Gupta said that some investors, who got left out in the previous round because of its timing, would be accommodated now. The investment this time round is likely to be lower than USD 1 billion. In December 2007, global investors including Temasek Holdings, Goldman Sachs, Macquarie, Citigroup, Investment Corporation of Dubai, AIF Capital and India Equity Partners had together put in USD 1 billion in Bharti Infratel for around 8 to 10% stake. The enterprise valuation of Bharti Infratel was estimated in the range of USD 10 to USD 12.5 billion. ( My Iris) […]

Kubera fund invests $10 mn in GSS America

UK-listed investment firm Kubera Cross-Border Fund on Wednesday said it has acquired 10.22 per cent stake in India-based information technology and outsourcing firm GSS America for about $10 million. Kubera Cross-Border Fund (KUBC), listed on the AIM market of London Stock Exchange, has invested in GSS America which is planning to enter the India capital market through an initial public offer, the fund said in a filing. GSS has already filed its draft red herring prospectus with market regulator Securities and Exchange Board of India to come with an Initial Public Offering of its equity shares. For the financial year ended March 31, 2007, GSS America had reported revenues of about USD 42 million and profit after tax of $9 million. […]

Trikona Trinity plans disposal of Dynamix Balwas Hospitality

Trikona Trinity Capital PLC said it has received an offer for the acquisition of Dynamix Balwas Hospitality Pvt Ltd by Trikona Hospitality Vertical, a wholly owned subsidiary of Trikona Capital Ltd, for 18.26 mln stg cash. Trikona Trinity, a fund created for investing in real estate across India, has a 9.5 pct holding in Dynamix Balwas Hospitality, which comprises a private development company, owning an operational 5-star hotel in Mumbai and land to develop further hotels in Mumbai, Pune and Goa. Trikona Trinity said the proposed transaction will yield an internal rate of return (IRR) of 74 pct on the invested capital, and added it plans to use the proceeds to invest in further projects in line with its investment strategy. […]

VC firms invest over $540 million in India during 2007

Venture Capital firms invested $543 million across 98 deals in India during 2007, according to a study by Venture Intelligence in partnership with the US-India Venture Capital Association. The amount invested during 2007 was slightly higher compared to 2006, which witnessed 94 deals totalling $500 million. ''With early stage investments accounted for about 66 per cent of all investments during the year, the resurgence in seed and first round investments has been a key highlight of 2007,'' said Arun Natarajan, founder and CEO of Venture Intelligence. Over 50 per cent of the VC investments during 2007 were below $5 million, including 23 per cent below the $2 million threshold, the US-IVCA/Venture Intelligence study showed. […]

Unitech to sell up to 50% stake to telecom ally

Real estate major Unitech., which has acquired licences to offer telecom services in 22 circles in the country, will sell 10-50 per cent stake to a foreign company in its telecom services operations, a senior company official said. The company is in talks with various foreign players for an equity tie-up for the same, he said. “A lot of foreign companies already have tie-ups with Indian companies for various operations. We too are talking to a few for prospective partnerships. We will give the foreign partner 10-50 per cent stake,” the official said. As per existing guidelines, foreign direct investment of up to 74 per cent is allowed in telecom services. […]

UTI AMC to sell 10-12% for $200 mn

UTI ASSET Management Company is roping in an international strategic investor for expanding its operations abroad. The investor, to be chosen from a slew of interested parties, will buy 10-12% equity in the country’s second largest mutual fund house for around $200 million. Half-a-dozen interested parties including Goldman Sachs, Lehman Brothers, Warburg Pincus, Singapore’s GIC and Japanese Shinsei Bank — are vying for the stake. Sources close to the development said the deal is expected to be finalised very soon. The shortlisted parties will submit final financial bids by end of the week. Valuations may take a minor plunge, owing to the current volatility in the market, said the sources. The country's second largest fund house, after R-ADAG's Reliance Capital Asset Management, had asset under management (AUM) of about Rs 57,000 crore, as on December 31, 2007. Last month, Eton Park Capital Management, the hedge fund firm founded by former Goldman Sachs Group partner Eric Mindich, acquired 4.76% in Reliance mutual fund house for Rs 501 crore. The deal valued Reliance’s mutual fund at Rs 10,521 crore. The company said in a statement that the equity proceeds would be utilised for its domestic and international expansion. […]

Private equity funding to touch $48 bn by 2010: Assocham

Investment by overseas private equity funds is set to touch $48 billion in India by 2010, from $17.14 billion last year, even as the country has established an edge over China in this industry, says a new study. “Real estate sector is predicted to be the best beneficiary of private equity landscape in India,” says the study by the Associated Chambers of Commerce and Industry of India (Assocham). This sector has been giving average profit margins of 35 percent and even more than 50 percent in some cases, says the Assocham study, titled “Private Equity – The Money Tree”. […]

Ranbaxy, DRL, Lupin in race for 53% stake in Romanian pharma co

Indian drug makers Ranbaxy Laboratories, Dr Reddy’s Laboratories (DRL) and Lupin are learnt to be in the fray to acquire 53% stake in Romania’s leading pharmaceutical company Antibiotice. The state-owned company, which is being privatised, is to be auctioned in March with a reserve price of $200 million (Rs 800 crore). Ranbaxy Laboratories’ CEO & MD Malvinder Singh said: “We cannot comment on acquisition conjectures. However, in the generics pharmaceuticals space, we believe there is more opportunity for acquisitions in the emerging markets because we see more sustainability and earnings growth from this region. We will consider target companies based on the value and the synergies that can be unlocked from such a deal that can ultimately enhance the shareholders’ value.” A source added that while Ranbaxy Laboratories has established a strong presence in Romania following its acquisition of Terapia in 2006, it made sense for the company to buy attractive assets to pre-empt competition from any Indian company in the lucrative Romanian market. […]