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Aditya Birla Private Equity picks up stake in BSE

Aditya Birla group today announced its maiden private equity fund with an initial commitment of $100-million and said that it has picked up stake in the Bombay Stock Exchange for an undisclosed amount. The fund–Aditya Birla Private Equity Fund–targets to collect $250-million over the next few quarters, Aditya Birla Private Equity funds' Managing director and Chief Executive Officer, Bharat Banka, told PTI here. Banka, however, did not elaborate on the stake that the fund has picked up in the BSE and said the stake purchase was as part of the demutualisation of the bourse. […]

Tata, Birla target mid-size PE deals

Tata Capital is banking on its ability to source deals by judiciously exploiting the ecosystem of suppliers and customers of as many as 98 operating companies of the salt-to-steel conglomerate. Its large companies such as Tata Motors have hundreds of suppliers. The group plans to invest about 15 per cent of the first corpus on its own as anchor investment. Tata Capital had earlier announced its plan to raise $400-500 million as its first fund for the PE business. “With a unique opportunity to source deals and capability to evaluate them, we think we can transform the company,” said Bhandari. Apart from the Tata Capital team, the PE business wants to use the expertise of group establishments such as Tata Strategic Management Group, Tata Quality Management Services and Tata Management Training Centre, besides the resources of larger operating companies of the group. […]

Unitech eyes $560 mn from PE funds

India’s second-biggest real estate developer Unitech is in talks with private equity (PE) funds for investments up to $560 million (Rs 2,750 crore). The realtor is also in negotiations with banks to restructure an additional Rs 500 crore of loans as part of its plan to cut debt and secure funding to complete existing projects, sources in the company said. The Gurgaon-based realty firm, whose stock is now trading at less than a tenth of its 52-week peak on the Bombay Stock Exchange (BSE), plans to draw down $110 million (Rs 540 crore) from Unitech Real Estate International Fund to invest in its realty projects in the National Capital Region (NCR). When contacted, the company declined to comment on the development. […]

Punjab government to launch venture capital fund

Punjab Government would set up a Venture Capital Fund in collaboration with private companies with an intention of providing financial assistance to new ventures in the state. “We are in the process of setting up a venture capital fund in which state as well as private companies will be putting in money to give funds for setting up new projects coming up in the state,” Punjab, Principal Secretary, Industry and Commerce, S.S. Channy said here on Monday. He further stated that the said fund would be managed by the private companies while adding that the government had sought Expression of Interest from the consultants to suggest ways of making it operational. […]

PE investments in listed firms suffer nearly $1 bn loss

Private equity investments in listed firms have lost nearly $1 billion so far this year largely due to the ongoing downturn in the capital market. An analysis of private investment in public equity (PIPE) in 2008 shows that these deals in the country have lost funds to the tune of $0.89 billion till January 12 this year. The PIPEs of 2008 have lost about 53.29 per cent from their investment of $1.67 billion to current mark to market value of $0.78 billion, representing an absolute loss of $0.89 billion, Nexgen Capitals, the merchant-banking arm of brokerage firm SMC Global Securities, said in its latest report. […]

India offers Qatar 10 pc stake in Petronet

India on Wednesday offered a 10 per cent stake in Petronet LNG Ltd, the state-run procurer of liquefied natural gas (LNG), to Qatar. Petroleum Minister Murli Deora made the offer to visiting Qatari deputy premier and energy minister, Abdullah Bin Hamad Al-Attiyah, at a breakfast meeting here. The offer was made after the Arab kingdom agreed to increase LNG supply to India. Qatar has already assured additional supply of 600,000 tonnes of LNG to India, its largest customer. […]

Intel Capital to invest $23m in Indian cos

Intel Capital, chipmaker Intel's global investment arm, on Wednesday announced an investment of $23 million in three Indian companies- One97 Communications, IndiaMART.com and Global Talent Track. With these investments, the organisation has spent nearly $100 million of its $250-million Intel Capital India Technology Fund set up in December 2005. Intel Capital is looking at four areas for investments- WiMAX and mobility, clean tech and renewable energy, consumer Internet and education, its India, Japan, Australasia and South East Asia MD Sudheer Kuppam said. […]

PE funding down 23% at $10.8 bn

The global liquidity crisis and slump in the Indian stock markets have clearly made a dent, and a significant one, to private equity inflow into the country. According to a Venture Intelligence report, investments by PE firms fell 23% in 2008 to $10.8 billion. Arun Natarajan, founder and chief executive officer of Venture Intelligence, said, “This is the first time since 2002 that private equity investments in India witnessed a Y-o-Ydecline.” Compared with 439 PE deals in 2007, there were only 399 transactions in 2008. Information technology and IT-enabled services were most preferred sectors, registering 107 deals in the year. […]