The Big Deal

Healthcare & Life Sciences > Pharmaceuticals
Fidelity leads Rs. 200-Cr investment in Aptuit Laurus

Fidelity Growth Partners, the India-focused PE arm of Fidelity Worldwide, has led a Rs. 200 crore round of investment in Hyderabad-based pharmaceutical company Aptuit Laurus Pvt. Ltd. Laurus was established in 2005 by Dr. Chava Satyanarayana, former COO at Matrix Laboratories, who also participated in the latest round.

In 2007, Laurus entered into a partnership with US-based Aptuit, Inc., a provider of contract R&D services to the global pharmaceutical industry. The company manufactures active pharmaceutical ingredients
for anti-retroviral (HIV-AIDS), oncology, nutraceutical and several other products. The company recorded revenues of around Rs.300 crores in FY2010-11.

For more information:

http://goo.gl/FS9sD

http://www.aptuitlaurus.com

Spotlight

Warburg gets $50-M from WNS’s ADS issue

Wind power co Ushdev to raise Rs. 160-Cr from Oxley

DBM Geotechnics raises Rs. 100-Cr from NYLIM

Shree Ganesh Jewellery acquires 2 solar PV firms for Rs. 100-Cr

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Done Deals

PE / VC Fund Investments

Energy > Renewable Power Projects (Wind)
Ushdev International to raise Rs. 160-Cr from Oxley

Mumbai-based listed Ushdev International Ltd., a metals trading firm and wind farm operator, is to raise Rs. 160 crore from Singapore-based private investment group Oxley via a preferential allotment of equity shares. Under the deal, Ushdev will allot 50 lakh shares of Rs. 10 each at a premium of Rs. 310 to Oxley. Post deal, Oxley will hold a 14.5% stake in the company, while the holding of Ushdev promoters will fall from 54.7% to 46.7%. 

For more information:  

http://www.bseindia.com/xml-data/corpfiling/AttachHis/Ushdev_International_Ltd_150212.pdf 

http://www.ushdev.com

Engg. & Construction > Engineering & Design Services (Geotechnical)
DBM Geotechnics raises Rs. 100-Cr from NYLIM

Mumbai-based DBM Geotechnics and Constructions Pvt. Ltd. has raised Rs. 100 crore from NYLIM Jacob Ballas India Fund III for a significant minority stake. DBM is a provider of geotechnical services and is also engaged in EPC services, mainly in the areas of foundation engineering and marine infrastructure construction.  Sunil Chawla, Partner at Jacob Ballas, is joining the DBM board. Yes Bank acted as exclusive advisor to the deal. 

DBM was set up in 1990 by DB Mahajan, the company’s CMD. It has executed more than 3,000 geotechnical projects till date. The company employs about 440 people and operates about 175 rigs for drilling and piling operations.

For more information:  

http://ventureintelligence.blogspot.in/2012/02/deal-alert-nylim-india-invests-in-dbm.html 

http://www.dbmgeotech.com

IT & ITES > Mobile VAS
July Systems raises $15-M led by Updata Partners

Los Angeles- and Bangalore-based July Systems, a cloud-based mobile application platform provider, has raised $15 million in growth equity investment led by Updata Partners with participation from Intel Capital and WestBridge Capital. The funds will be used in product development, and in the expansion of sales and market reach. 

http://julysystems.com/3305/july-systems-secures-15-million-in-funding/

IT & ITES > Enterprise Software (Retail)
Manthan Systems raises $15-M from NVP

Bangalore-based Manthan Systems Pvt. Ltd., which provides analytics solutions for the retail and consumer packaged goods industries, has raised $15 million in Series C funding from Norwest Venture Partners (NVP). The funds will be used to launch new cloud- and SaaS-based products and for acquisitions. Mohan Kumar, Executive Director at NVP, has joined the Manthan board. 

Manthan's retail analytics solution, ARC, is stated to boost profitability and growth, and has been adopted by retailers across 20 countries worldwide. The company’s existing investors include Fidelity, ePlanet Ventures and IDG Ventures. The latest investment takes the total amount of funding received by it to $50 million. 

For more information:  

http://goo.gl/87uS8 

http://www.manthansystems.com

Education  > Training & Certification
Sequoia Capital invests $7.5 M in Edusys

Sequoia Capital has invested $7.5 million in New Delhi-based training and certification company Edusys. Launched in 2004, Edusys today has a customer base of more than 3,500 companies across the world and supports students from over 150 countries.

http://www.edusysglobal.com/news_page.asp?ID=64

BFSI > NBFC
IFC to invest Rs. 20-Cr in Au Housing Finance

The IFC is to invest around Rs. 20.4 crore ($4-5 million) in Jaipur-based NBFC Au Housing Finance Pvt. Ltd. Other potential investors in Au Housing include the NHB and the Rajasthan government. 

IFC had first invested in Au Financiers in March 2010. Au Financiers finances commercial vehicle loans, loans against property and MSME loans with last mile connectivity in Tier-2 and rural market segments. It had an AUM base of $395 million as of September 2011. 

From the Venture Intelligence PE Deal database: Existing investors in Au Financiers include Warburg Pincus and Motilal Oswal PE. 

For more information:  

http://www.ifc.org/ifcext/spiwebsite1.nsf/ProjectDisplay/SPI_DP30205 

http://www.aufin.in

IT & ITES > Enterprise Software (SAAS-based Communication)
Naya Ventures to invest $2-M in Global Outlook

US-based VC firm Naya Ventures is to invest up to $2 million in Global Outlook, a Hyderabad-based provider of cloud-based business communications services. Global Outlook, which offers services using Microsoft’s core communication products under a software as a service (SaaS) model, was started in 2007 and currently has 10,000 users from 70 enterprises.

http://bit.ly/y1aRct

IT & ITES > Online Services (Payment Gateway)
Sequoia Capital invests Rs. 9-Cr in Citrus Payment Solutions

Sequoia Capital India has made an investment of Rs. 9 Crore by way of subscription to CCPS for a significant minority stake in online payment gateway service provider Citrus Payment Solutions. Mohit Bhatnagar of Sequoia Capital has joined the board as on Jan 20, 2012. Citrus was founded in 2011 by a group of professionals.

http://www.citruspay.com

IT & ITES > Online Services (Content Sharing Over TV)
Ojas Ventures invests in BrizzTV Media Labs

VC firm Ojas Venture Partners has acquired a significant minority stake in Bangalore-based television channels data provider BrizzTV Media Labs Pvt. Ltd. BrizzTV is a media technology startup co founded by Amarendra Sahu and Jitendra Sahadev, two graduates from NIT Surathkal. Incubated at NSRCEL, IIM Bangalore, it connects Internet users with their friends and family by enabling personal content sharing over television.

For more information:  

http://www.ojasventures.com/portfolio.html 

http://www.brizztv.com

Engg. & Construction > EPC (Roads & Bridges)
BanyanTree invests in Dilip Buildcon

PE fund BanyanTree Growth Capital LLC has invested an undisclosed amount in Bhopal-based infrastructure firm Dilip Buildcon Ltd. (DBL). BanyanTree will acquire a minority stake and have a board representation. DBL, launched in 1988, focuses on the Engineering, Procurement and Construction (EPC) work exclusively in the road and bridges segment. Revenues have grown by a CAGR of 65% over the past four years. 

Close to 90% of DBL’s order book is from non-captive projects. It is currently executing road projects in Madhya Pradesh, Gujarat, Maharashtra and Himachal Pradesh. The company is promoted by Dilip Suryavanshi and Devendra Jain.

http://www.dilipbuildcon.co.in

Textiles & Garments > Garments (Retail)
L Capital acquires 8% stake in Fabindia: report

L Capital, the PE arm of LVMH, has bought the 8% stake held by Wolfensohn Capital Partners in New Delhi-based unlisted ethnic wear chain Fabindia, repots Reuters. Media reports have valued Fabindia at about Rs. 1,400 crore.  

Fabindia, which sells clothing, furnishings and fabrics, also plans to raise funds for expansion. L Capital Asia launched a $640 million fund last year targeting emerging economies including China and India. 

For more information:  

http://in.reuters.com/article/2012/02/15/fabindia-lcapital-idINDEE81E05720120215 

http://www.fabindia.com

Energy > Equipment (Remote management of lighting applications)
Plexus Capital Ventures invests in IRIS Energy

Plexus Capital Ventures has made an undisclosed debut investment in IRIS Energy Pvt. Ltd., a Pune-based provider of Remote Management Solutions for High Intensity Discharge (HID) Lighting Applications including street lighting, plant & area lighting, infrastructure projects, architectural lighting & sports lighting. The company, launched in 2009, offers products that allow the control, monitoring & maintenance of these applications from a central location and give 30-50% energy saving over the traditional lighting controllers. Cipher Capital Advisors was the sole advisor to the deal.

Kunal Kumthekar-founded Plexus Capital invests $1-5 million in SMEs focused on energy efficiency, infra-enablers and food & agri. Prior to Plexus, Kunal founded Nine Rivers Capital, a $26.5 million India-centric SME PE fund and prior to that founder of KPIN Capital and Director & Partner at Cipher Capital. 

For more information:  

http://www.108plexus.in/mainsite/Fund2.aspx 

http://irisenergy.in

IT & ITES > Enterprise Software (ERP - Saas)
Blume Ventures invests in Valgen

Seed investor fund Blume Ventures has made an investment in Valgen, a Chennai-based company that provides software as a service (SaaS) based on-demand ERP solutions to SMEs. B Hariharan, the company’s founder and CEO, is also a promoter- director of Chennai’s Great Lakes Institute of Management. Karthik Reddy, a Managing partner at Blume Ventures, is an advisor to Valgen. 

For more information:  

http://www.blumeventures.com/companies.htm 

http://www.valgeninc.com

Liquidity Events

Public Market Sales

Manufacturing > Cement
Spinnaker Capital sells Sanghi Industries shares worth Rs. 19-Cr

UK-based Spinnaker Capital, through its unit Spinnakar Global Opportunity Fund, has sold 10,998,950 shares of Hyderabad-based listed cement producer Sanghi Industries worth Rs. 19.25 crore at Rs.17.50 per share on February 15, 2012. This constitutes 5% of the total outstanding shares of Sanghi.  

From the Venture Intelligence PE Deal database: Spinnaker Capital invested INR 49.30 Cr in Dec 2005 and INR 53.50 Cr in Jan 2006. 

For more information:  

http://bit.ly/crbdip 

http://www.sanghicemant.com/ 

Shipping & Logistics > Logistics Services
AMP Capital sells Gati shares worth Rs. 15-Cr

AMP Capital, through its unit Infrastructure Fund of India, has sold shares worth Rs. 15 crore of Hyderabad-based listed logistics services provider Gati Ltd. over the past week.  

On Feb. 13, 2012, it sold 780,000 shares worth Rs. 3.53 crore at Rs. 45.22 per share. This constitutes 0.90% of total outstanding shares of the company. On Feb. 14, it sold 596,847 shares worth Rs. 2.28 crore at Rs. 38.28 per share, constituting 0.69% of the total outstanding shares of the company. On Feb. 15, it sold 1,734,081 shares on the NSE at Rs. 35.31 per share and 853,400 shares on the BSE at Rs. 35.35 per share. The last two deals amounted to Rs.9.14 crore and constituted 2.99% of the company’s total outstanding shares. 

From the Venture Intelligence PE Deal database: In Feb 2006, AMP Capital had invested INR 79.75 Cr in Gati for an 11.08% stake. 

For more information:  

http://www.bseindia.com/mktlive/market_summ/bulk_deals.asp 

http://bit.ly/crbdip 

BFSI > Banking
Bessemer sells 1% in Dhanlaxmi Bank for Rs. 6-Cr

US-based venture investor Bessemer sold 9 lakh shares or 1% of the total equity of Dhanlaxmi Bank through an NSE bulk deal on Feb. 15, 2012. The sale was valued at Rs. 5.9 crore. As on December 31, Bessemer held a 2% stake in the bank.

http://goo.gl/h6DeO 

Secondary Sales

Textiles & Garments > Garments (Retail)
L Capital buys out Wolfensohn Capital from Fabindia: report

L Capital, the PE arm of LVMH, has bought the 8% stake held by Wolfensohn Capital Partners in New Delhi-based unlisted ethnic wear chain Fabindia, reports Economic Times. Wolfensohn Capital, the New York-based VC fund of former World Bank President James Wolfensohn, bought the stake in Fabindia in 2007 for about $10 million. 

From the Venture Intelligence PE Deal database: Fabindia, apart from raising $11-M from Wolfensohn Capital in Jul-07, had raised funding from Carlyle in Nov-11.

For more information:  

http://in.reuters.com/article/2012/02/15/fabindia-lcapital-idINDEE81E05720120215 

http://www.fabindia.com 

Secondary Offers

IT & ITES > BPO
Warburg gets $50-M from WNS’s ADS issue

Mumbai-based based, NYSE-listed BPO firm WNS Global Services' follow-on ADS offering has resulted in its largest shareholder, Warburg Pincus' stake falling to 29% from about 48%. The public offering raised $110 million including a part sale by Warburg Pincus and a fresh issue of shares by the company. Warburg will get more than $50 million from the sale of its stake and the company will get $47.50 million. 

The offering was upsized to 10,650,000 ADSs from the original offering size of 10,500,000 ADSs. The number of ADSs offered by Warburg Pincus was 5,250,000. WNS had priced the ADS at $9.25. The issue opened on February 1 and closed on February 14. 

From the Venture Intelligence PE Deal database: Warburg had invested $39-M in May-02 and $1.4 M in Oct-05, in WNS. 

For more information:  

http://ir.wns.com/phoenix.zhtml?c=200768&p=irol-newsArticle&ID=1659326&highlight 

http://economictimes.indiatimes.com/articleshow/11891873.cms 

Angel Investments  

IT & ITES > Online Services (TV Programs Alerts)
Angel fund Seeders invests in iDubba

Angel fund Seeders has made an investment in New Delhi-based iDubba, which helps Indian television viewers quickly find programs of interest and rewards them for watching TV. Users can set intelligent alerts for their favorite genre, sports, celebrities or movies and also watch videos. The company has also developed an Android app that provides best second screen experience possible. 

iDubba is run by Inid Digimedia Pvt Ltd.

For more information:  

http://www.seeders.in/who/ 

http://www.idubba.com 

IT & ITES > Online Services (Accounting Software)
Reach Accountant raises angel funding

Chennai-based online accounting software firm Reach Accountant has raised angel funding from Google India MD Rajan Anandan and angel investor Rehan Yar Khan. The funds will be used to increase the customer base from the present 1,000 to 10,000 in the next 18 months. It is also looking to expand its sales team. Reach Accountant currently has offices in Chennai and Bangalore and plans to expand to eight other cities. 

For more information:  

http://bit.ly/wQZoIB 

http://reachaccountant.com 

Other Private Equity/Strategic Investments

BFSI > Banking
LIC to pick up 5% stake in PSB for Rs. 95-Cr

State-owned Punjab & Sind Bank (PSB) is to issue shares up to 5% of the paid-up capital on a preferential basis to Life Insurance Corporation (LIC), reports Economic Times. The bank proposes to issue 1.12 crore fresh shares. At the prevailing share price of PSB, the investment would be worth about Rs. 95 crore.

http://www.economictimes.indiatimes.com/articleshow/11914074.cms 

Manufacturing > Chemicals (Color Pigments)
Clariant Chemicals acquires 5.86% stake in Asahi Songwon

Publicly listed Clariant Chemicals (India) Ltd. has purchased 7,18,600 shares of Rs. 10 each, representing 5.86 % of the paid up equity share capital, of Mehsana, Gujarat-based Asahi Songwon Colors Ltd. at a market price of Rs. 92.5 per share in a block deal. 

For more information:  

http://bit.ly/zbIZsP 

http://www.asahisongwon.com/ 

Manufacturing > Steel
JFE Steel Corp increases stake in JSW Steel to 15%

Japan's JFE Steel Corp has raised its stake in JSW Steel Ltd. to 15% following a change in Indian share purchases rule. The move involved the conversion of some JSW depositary receipts held by JFE. 

JFE in 2010 bought 14.9% of Indian company for $1 billion, just shy of the level that would trigger a mandatory public offering. India last November changed the rule to 25%.

http://bit.ly/z3ejED 

Engg. & Construction > EPC (Construction)
Nalanda increases stake in Ahluwalia Contracts to 5%

Nalanda India Equity Fund has acquired an additional 127,931 shares, or a 0.2% stake, in New Delhi-based listed construction EPC firm Ahluwalia Contracts (India) Ltd. The latest purchase takes Nalanda’s total stake in Ahluwalia from 4.8% to 5%.

http://bit.ly/zk5zgD

Venturing Abroad

IT & ITES > IT Training
Aptech to acquire 8.33% stake in Polish firm Syntea

Mumbai-based listed Aptech Ltd. is to pick up an 8.33% stake in Polish company Syntea. The transaction will enable it to tap markets in Poland, Bulgaria and Romania. 

Syntea, which will promote Aptech products in these countries, is in the business of providing educational support and consultancy in IT and related competencies (business language) for individuals, public institutions and the education sector since 2003.

For more information:

http://bseindia.com/stockinfo/anndet.aspx?newsid=e49c57a5-77e9-46c0-a0ac-334169ec23b5&param1=1 

http://www.syntea.cz/index.php/en

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Mergers & Acquisitions

Mergers & Acquisitions (Inbound)

Manufacturing > Plastic Resins
Styrolution ups stake in Ineos to 87.3% via Rs. 43-Cr open offer

Germany-based Styrolution (Jersey) Ltd. (formerly Ineos ABS), Styrolution Holding Gmbh, Styrolution Group Gmbh and BASF SE have increased their stake in Vadodara-based listed Ineos ABS (India) Ltd. from 83.33% to 87.37% via an open offer. The acquirers made an offer of Rs. 606.81 per share to acquire 703,075 shares. Kotak Mahindra Capital was the manager to the Rs. 42.7 crore offer.

Originally called ABS Industries Ltd., Ineos ABS India is a producer of plastic resins. In 1997, Bayer acquired a 51% stake in the company. In 2008, Germany’s INEOS ABS (Jersey) Ltd. acquired an 83.33% stake in Ineos ABS India.

For more information:  

http://bseindia.com/xml-data/corpfiling/AttachLive/INEOS_ABS_%28India%29_Ltd_170212.pdf 

http://www.ineosabsindia.co.in 

Mergers & Acquisitions (Domestic)

Energy > Equipment (Solar PV)
Shree Ganesh Jewellery acquires 2 solar PV firms for Rs. 100-Cr

Kolkata-based listed Shree Ganesh Jewellery House Ltd. has entered the solar power generation business by acquiring a 55% stake each in Alex Astral Power Ltd. and Alex Spectrum Radiation Ltd. for Rs. 100 crore, reports Business Line. The Sureka Group is the co-promoter in both the companies. 

Alex Astral has already commissioned a 25 MW solar power plant in Gujarat while Alex Spectrum is slated to commission a 5 MW solar project in Rajasthan this month.

http://www.thehindubusinessline.com/companies/article2904094.ece

Manufacturing > FMCG
Marico to acquire Paras personal care biz from Reckitt Benckiser

Mumbai-based listed FMCG firm Marico Ltd. is to acquire a 100% stake in Halite Personal Care India Pvt. Ltd., a company into which the assets of the personal care business of Paras Pharmaceuticals Ltd. are expected to be transferred through a demerger process by current owner Reckitt Benckiser. The deal size is estimated at Rs. 650 crore. Amarchand & Mangaldas & Suresh A Shroff & Co. was the legal advisor to Marico while PRA Law Offices advised Reckitt. 

The transaction will involve the transfer of all key assets including intellectual property rights, supply agreements and third party manufacturing agreements. The acquisition will be funded through a mix of internal accruals, equity and debt. It is expected to reduce Marico’s dependence on edibles and hair oils.  Reckitt Benckiser had acquired these brands from Paras Pharmaceuticals in a deal completed during April 2011. Brands which will be part of the transaction include Set Wet, Livon, Zatak and certain other personal care brands. The Paras personal care business is expected to achieve a turnover of over Rs. 150 crore during FY12. 

For more information:  

http://www.bseindia.com/xml-data/corpfiling/AttachLive/Marico_Ltd_150212.pdf 

http://www.rb.com/Sale-of-Paras-Personal-Care

Other Services > Legal Practice
Udwalia & Udeshi to merge with Argus Partners

Mumbai-based law firm Udwadia & Udeshi has merged with yet another law firm, Argus Partners, reports Bar and Bench. The merger will be effective from April 1, 2012. The merged firm will operate under the name Udwadia, Udeshi & Argus Partners and have 12 partners and about 60 lawyers. It will have offices in Mumbai, Delhi, Kolkata, Bangalore and Chennai and will be managed by Krishnava Dutt, founding partner of Argus. The deal was facilitated by Legal League Consulting. 

Argus Partners was set up in 2009 by Dutt, former Amarchand Mangaldas Kolkata Partner, and Ramya Hariharan, former Amarchand Principal Associate. Dilip Udeshi and Darius Udwadia were partners at Crawford Bailey before they set up Udwadia & Udeshi in 1997.

http://www.barandbench.com/brief/2/2066/argus-partners-and-udwadia-amp-udeshi-merge 

BFSI > Broking (Equity)
Alka Securities to sell share broking biz to Yasu Tradeinvest

Mumbai-based listed Alka Securities Ltd. is to sell its share broking, share investment and stock exchange business to Yasu Tradeinvest Pvt. Ltd. by way of business transfer/ slump sale.

For more information:  

http://www.bseindia.com/xml-data/corpfiling/AttachLive/Alka_Securities_Ltd_160212.pdf 

http://alkasecurities.com/alka/

Engg. & Construction > Infrastructure
LIC, IIFCL to purchase of majority stake in DMICDC

Life Insurance Corp. of India (LIC) and India Infrastructure Finance Co. Ltd. (IIFCL) are to acquire a majority stake in New Delhi-based Delhi Mumbai Industrial Corridor Development Corp. (DMICDC) from IL&FS and IDFC, reports Mint. Since there are no assets owned by the corporation, the stakes will be bought at face value.

DMICDC was incorporated in January 2008 with an authorized equity base of Rs. 10 crore. The government held a 49% stake in the SPV, IL&FS 41% and IDFC the balance 10%. It proposes to develop self-sustainable smart cities on either side of the 1,483 km long Western Dedicated Rail Freight Corridor between Dadri in Uttar Pradesh and Jawaharlal Nehru Port Trust in Navi Mumbai running across six states. The project will require an estimated $90-100 billion to set up the infrastructure over the next 30 years. 

For more information:

http://www.livemint.com/2012/02/19223718/LIC-IIFCL-purchase-of-majorit.html 

http://www.dmicdc.com

Media & Entertainment > TV Channels
RIL's media trust buys shares worth Rs. 11-Cr in Network18

Independent Media Trust, recently set up by Reliance Industries, has purchased 27.14 lakh shares worth about Rs. 10.87 crore in Network18 Media and Investments at Rs. 40.05 apiece, reports Economic Times. RB Holdings, one of the promoters of Network18 Media and Investments, which held around 46.24 million shares or a 32.37% stake in Network18 Media as of December quarter, sold the shares. 

Last month, RIL had entered the media and entertainment sector by making a major investment in the Raghav Bahl-controlled Network18 Group. Through a newly-created vehicle, Independent Media Trust, RIL is infusing funds in the form of a loan (or optionally convertible debentures that can be converted into equity)  into Network18 Media and Investments Ltd (NMIL), the group's holding company, and TV18 Broadcast Ltd, the flagship company.

http://economictimes.indiatimes.com/articleshow/11901146.cms

Manufacturing > Cement
Jaypee Group picks up 2.14% stake in Andhra Cements via open offer

Jaypee Development Corporation has acquired an around 2.14% stake of the fully diluted equity share capital of Andhra Cements via an open offer. The transaction involved acquisition of around 6.3 million shares, at Rs. 12 per piece, for a total consideration of Rs. 7.56 crore. 

Post the open offer, Jaypee Group holds a 59.7% stake in Andhra Cements.

http://bit.ly/wPZlPc

Diversified
Escorts to merge 3 group firms into itself

Publicly listed Escorts Ltd. will merge three group companies into itself with retrospective effect. From the appointed date of October 1, 2011, all assets and liabilities of the three companies – Escorts Construction Equipment, Escorts Finance and Investments and Escotrac Finance Investments and Leasing – will become a part of Escorts Ltd. The share exchange ratio proposed is four shares of Escorts Ltd. for every 39 shares of Escorts Finance and Investments, apart from four Escorts' shares for every 27 shares of both Escotrac and Escorts Construction Equipment. The scheme is subject to majority shareholder, regulatory and Court approvals.

http://bit.ly/wZ0Ao0

Debt Financing

Engg. & Construction > Infrastructure
Diamond Power Infrastructure raises Rs.440-Cr debt

Ahmedabad-based listed Diamond Power Infrastructure Ltd. has tied up Rs. 440 crore through a mix of rupee term loans, ECB loan and suppliers credit. The total project cost is Rs. 753 crore as appraised by Dun & Bradstreet and Axis Bank. The rest of the project cost will be funded through internal accruals.

http://bit.ly/wKWU8v

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Deals in the Making

Private Equity / Strategic Investments

Telecom > Telecom Towers
PE firms set to acquire 95% of Rel Infratel for Rs. 20,000-Cr

PE firms Blackstone and Carlyle Group have signed a term sheet to buy up to a 95% stake in Reliance Infratel, the telecom tower arm of the R-ADAG group, reports Business Standard. Reliance Communications (RCom), which controls Infratel, owns nearly 50,000 towers across the country and the valuation of the deal has been pegged at Rs. 15,000-20,000 crore, based on a mutually acceptable formula. Based on this value, RCom will get Rs. 31-41 lakh a tower, substantially less than the nearly Rs. 1.2 crore a tower the company got by selling 5% stake to sundry investors in 2007. RCom then had 23,000 towers and sold the 5% stake at Rs. 1,400 crore.

http://www.business-standard.com/464975/ 

Energy > Oil
Essar Oil may raise $600-M via preferential issue

The Ruia's UK-based holding company, Essar Oil, will convert $280 million worth of FCCBs into equity in its debt-laden Indian arm, Essar Oil Ltd., reports Times of India. Essar Oil also plans to mop up another $600 million by way of a rights or preferential issue.

http://timesofindia.indiatimes.com/articleshow/11932747.cms 

BFSI > Life Insurance
IndusInd to acquire stake in Aviva Life for Rs. 1,000-Cr

Private sector lender IndusInd Bank is set to pick up a 3-5% stake in private sector life insurer Aviva Life Insurance, reports Business Standard. As part of the deal, apart from offering shares, Aviva Life would also pay an advance commission, taking the total valuation of the deal to around Rs. 1,000 crore. 

IndusInd is already a corporate agent for Aviva Life, a JV between the Dabur Group and UK’s Aviva, with the latter holding a 26% stake.

http://www.business-standard.com/464932/ 

IT & ITES > Enterprise Software (Retail)
Retail Software firm Capillary to raise $10-M

Retail software firm Capillary Technologies is looking to raise $10 million in equity financing to scale up operations. The company’s existing investors include Rajan Anandan (MD of Google India), Venkat Tadanki (who sold BPO firm Daksh to IBM), Naresh Malhotra (former MD of Café Coffee Day) and management consultant Harminder Sahni.

Founded in 2008 with a Rs. 15 lakh loan from the eCell in IIT-Kharagpur by two alumni, Aneesh Reddy and Krishna Mehra, the company serves as a retailer on various customer engagement activities like managing reward points and gift voucher programs, cross-selling and handling closed loop referral programs. 

From the Venture Intelligence PE Deal database: In August 2011, the company raised funding from Qualcomm Ventures. 

For more information:  

http://bit.ly/xXLjiP 

http://capillary.co.in/about 

Energy > Oil
Foreign investors set to acquire ONGC stake

Overseas investors including sovereign funds Kuwait Investment Authority and Abu Dhabi Investment Authority have assured the government they would buy up the proposed 5% stake sale in Oil & Natural Gas Corp. (ONGC), reports Economic Times. Representatives of various funds from Singapore, the Middle East and London including CalPERS, the California pension fund, and Prudential, have informally 'underwritten' the stake sale in the state-run company that could help the government raise about Rs. 12,000 crore at current market valuations

http://bit.ly/xdCKq8 

Media & Entertainment > Cable Distribution
GA looking to acquire stake in IndusInd Media

General Atlantic is looking to pick up a significant stake in the Hinduja Group’s cable distribution arm, IndusInd Media and Communications Ltd., reports Mint. MSOs are looking for external funding in order to fund the purchase and deployment of set-top boxes as the entire country switches to digital cable by December 2014 made compulsory by law. They are currently allowed to have 49% foreign investment. The money will be needed more in the second phase when nearly 65-70 cities will be digitized. That means covering a population of 70-90 million and delivering set-top boxes.

http://www.livemint.com/2012/02/13231039/General-Atlantic-eyes-IndusInd.html 

Media & Entertainment > TV Channela
TV9 scouting for Rs. 400-Cr

Hyderabad-based Associated Broadcasting Company Ltd. (ABCL), which runs a clutch of regional news channels under the TV9 brand, has mandated Edelweiss Capital to find an investor, reports India Television. ABCL has a fund requirement of Rs. 400 crore to launch news channels in Tamil, Oriya and Hindi. The plan is to expand its fleet of channels to nine. ABCL will either dilute a stake or consider an exit if the valuation is right. 

ABCL is in the process of giving a 14.5% stake to PE firm SAIF Partners. This will follow a merger between iVision Media, the India outfit of SAIF, and ABCL.

http://www.indiantelevision.com/headlines/y2k12/feb/feb102.php 

Energy > Equipment (Solar Lighting Systems)
Duron Energy to looks for $10-M in VC funding for expansion

Duron Energy Pvt. Ltd., the Indian subsidiary of US-based Distributed World Power, a maker of affordable off-grid solar energy solutions, is looking to raise up to $10 million (about Rs. 50 crore) in venture capital to fund its expansion in India, reports Business Standard. 

Duron is incubated by Idealab, a California-based incubator of technology companies, and is positioned as a provider of clean energy solutions for powerless homes in rural and semi-urban areas. It has already installed its home lighting solutions in about 3,200 villages in the states of Karnataka and Uttar Pradesh. Its product range comprises solar home lighting systems, solar home systems and solar UPSs. The company is now set to expand into five other states like Tamil Nadu, Madhya Pradesh, Bihar, Rajasthan, and Orissa in the next six months. 

For more information:  

http://www.business-standard.com/464881/ 

http://www.duronenergy.com 

Healthcare & Life Sciences > Diagnostics
Span Diagnostics looking to raise Rs. 80-Cr via stake sale

Surat-based listed Span Diagnostics is in talks with US and European diagnostic majors to dilute an about 25% promoter stake, reports Business Standard. It has appointed Singhi Advisors to run the sale process. Span is said to be looking at a valuation of Rs. 250-300 crore to raise about Rs. 75-80 crore through the stake sale. The company manufactures various kinds of diagnostic/pathology lab devices, including sample test devices.

http://business-standard.com/465091/ 

Healthcare & Life Sciences > Wellness (Salon Chain)
Naturals looking to raise Rs. 50-Cr in PE funding

Chennai-based salon chain Naturals, promoted by CK Kumaravel (brother of CK Ranganathan of CavinKare) and his wife Veena Kumaravel, is looking to raise Rs. 50 crore through PE funds, reports Times of India. The company plans to appoint an investment banker by the end of the month and expects to raise the the first tranche of funds by September-end. 

Naturals runs Naturals salons and spas, and Page 3 luxury salons in Chennai and the rest of South India. The company is looking to expand its presence in North and West India next fiscal and to take its salon tally to 300 by the end of March 2013. It is also betting big on the hair color business and is promoting Dutch cosmetics firm Keune’s range across its salons. 

For more information:  

http://bit.ly/zXSUrw 

http://www.naturals.in

IT & ITES > Communication Tech (Telecom Software)
Mahindra Satyam set to acquire Comviva stake

Mahindra Satyam is close to buying a 20-30% in Comviva Technologies, the mobile software development unit of Bharti Enterprises, reports Financial Express. A deal could fetch Bharti Rs. 400-500 crore. PwC is an advisor to the transaction. 

Comviva, previously called Bharti Telesoft, makes software that allows operators to provide value-added services like music and video on mobile phones. It has clients in more than 85 countries. Last year, TCS and HCL Technologies had shown interest in picking up a strategic stake in Comviva, but no formal bids were made.

http://www.financialexpress.com/news/mahindra-satyam-set-to-buy-into-bharti-unit/914307/0 

Manufacturing > Valves
Virgo Engineers in talks with overseas cos for investment

Virgo Engineers Ltd., a Pune-based valve maker which twice planned an IPO, is exploring a stake sale that may value the company at more than $600 million, reports Bloomberg. It has hired Goldman Sachs to manage the sale, and has received preliminary bids from companies based in Japan, Europe and the US. 

Virgo planned IPOs in both 2008 and 2010. Tano Capital, which invested in Virgo in 2006, held a 9.7% stake in the company, according to the 2010 draft prospectus. The company’s co-founders Mahesh Desai and V Balasubramanian owned about 32% and 28%, respectively. Virgo has customers in 60 countries, manufacturing locations in the US, Italy, Germany and India and over 900 employees. 

For more information:  

http://goo.gl/r0dFM 

http://www.virgoengineers.com 

Healthcare & Life Sciences > Biotech
Titan Biotech to make a preferential issue shares worth Rs. 3-Cr

Publicly listed Titan Biotech Ltd. is planning to issue 15 lakh equity shares on a preferential basis to non promoters at an offer price of Rs. 20 per share.

http://bit.ly/xfbnh2 

Education
Comp U Learn Tech looks to dilute stake in Hong Kong subsidiary

Publicly listed Comp U Learn Tech India Ltd. is looking to dilute stake in its wholly-owned Hong Kong subsidiary, CTIL Hong Kong Ltd., by allotment of shares to institutions or selected persons  at a value arrived by an appropriate independent authority. The company will, however, retain a 51% stake in the subsidiary.

http://bit.ly/xSeeXl 

Textiles & Garments > Textiles
Supreme Treves in talks for PE funding

Mumbai-based woven fabric maker Supreme Treves Pvt. Ltd. is in talks with PE investors to raise as much as Rs. 100 crore to fund its expansion, reports Mint. PE funds will pick up a 1015% stake in the company, giving it a valuation of around Rs. 700 crore.

Supreme Treves is a JV between the Supreme Group and the Treves Group, a French auto component and textile manufacturing solutions provider.

http://goo.gl/GgTbN 

IT & ITES > Online Services
Oxigen gets FIPB approval for Rs. 1-Cr FDI

The FIPB has approved an FDI of Rs. 1.06 crore in Oxigen to carry out its business of providing B2B services such as mobile, DTH & broadband recharges, bill payments, and travel & ticketing. Oxigen owns OxiCash, an e-wallet service that enables users to pay utility bills, etc.  In 2006, Citibank Venture Capital International had made an investment in the company but seems to have exited later.

http://bit.ly/Ae0SJ6 

Manufacturing > Tires
Falcon Tyres to sell off stake in subsidiary

Publicly listed Falcon Tyres Ltd. plans to sell stake in subsidiary firm Monotona Tyres Ltd., subject to the approval of shareholders and other requisite approvals.

http://bit.ly/A5R2rL

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IPOs(PE Backed )

BFSI >Exchange (Commodity)
MCX to launch $125-M IPO on Feb. 21

Multi Commodity Exchange (MCX), India's biggest commodity exchange by turnover, plans to launch an IPO to raise up to $125 million, reports Economic Times. The issue opens on February 21 and closes on February 24. MCX is likely to sell over 6 million shares representing a 12.6% stake through the IPO. Majority shareholder Financial Technologies (India) Ltd. and investors including SBI and Bank of Baroda will sell part of their holdings. 

Morgan Stanley, Citigroup and Edelweiss Capital are the bookrunners for the issue. 

From the Venture Intelligence PE Deal database: Kotak PE, ICICI Venture, IIML, Intel Capital and Ashmore Alchemy have invested over $160-M in MCX from Dec-07 to Mar-10. 

http://economictimes.indiatimes.com/articleshow/11872720.cms

IPOs 

Telecom > Undersea Cable
StanChart, DBS to advise RCom on undersea cable IPO

Reliance Communications (RCom) has appointed another two banks for the upcoming $1 billion IPO of its undersea cable unit in what may be the biggest stock listing in Singapore this year, reports Reuters. Standard Chartered and DBS Group Holdings will join Deutsche Bank as the main advisors in an IPO that will help the debt-laden teleco reduce a debt burden that stood at $6.9 billion as of December. The IPO -- which is likely to be in the form of a business trust -- is expected to be launched in the second half of the year.

http://bit.ly/w370v7 

Healthcare & Life Sciences > Biotech
Altret Biotech files for Rs. 27-Cr IPO

Surat-based biotech firm Altret Bio-Tech Pvt. Ltd. has filed for an IPO to raise Rs. 27 crore. The book running lead manager to the issue is Comfort Securities. 

For more information:  

http://www.sebi.gov.in/cms/sebi_data/attachdocs/1329451755471.pdf 

http://altretbiotech.com 

Secondary Offerings 

Energy > Equipment (Solar)
Urja Global plans to raise $15-M Via FCCBs

Urja Global Ltd. will raise funds to the tune of $15 million through FCCBs. It will also exercise the GDR option later.

http://bit.ly/y5pvOq

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Mergers & Acquisitions

Manufacturing > Forging
Adhunik set to sell forgings arm to Amtek for Rs. 230-Cr

Kolkata-based steel manufacturer Adhunik Metaliks is reportedly in advanced talks to sell its unlisted forging subsidiary to automobile component maker Amtek Auto for Rs. 230 crore, reports Economic Times.  The subsidiary, Neepaz V Forge, manufactures forged products for automobile players such as Tata Motors, Ashok Leyland and Mahindra & Mahindra. The deal amount includes Rs. 160 crore in debt. 

Adhunik has, however, denied the sale talks. 

For more information:  

http://articles.economictimes.indiatimes.com/2012-02-17/news/31071433 

http://bit.ly/x82GlW 

Retail > Garments Retail
S Kumars set to acquire UK discount chain Peacocks

Mumbai-based listed textiles firm S Kumars Nationwide Ltd. is the front-runner to buy UK-based discount fashion chain Peacocks out of administration, with a deal expected over the next week, reports Dow Jones Newswires. S Kumars is one of several bidders reportedly interested in Peacocks. Others include Edinburgh Woollen Mill and Pakistani textile billionaire Alshair Fiyaz, who is reported to be working with Danish PE fund Solstra Capital Partners. 

Peacocks, which has 611 branded stores across the UK and employs close to 10,000 people, went into administration in January with roughly GBP750 million of debt after losing the support of key backer Royal Bank of Scotland.

http://goo.gl/9ntHP 

Energy > Oil
GeoGlobal looking sell four Indian blocks to Fire Creek: report

Canadian oil and gas explorer GeoGlobal Resources Inc. is looking at selling its stake in four Indian hydrocarbon blocks to Canada’s Fire Creek Resources Ltd., reports Mint. The transaction with Fire Creek Resources, which includes the blocks in Tarapur, Ankleshwar, Sanand-Maroli and Mehsana in Gujarat, is worth about $50 million. Gujarat State Petroleum Corp. Ltd (GSPC) is a partner or operator in all these blocks where the exploration activity has been completed.

http://www.livemint.com/2012/02/19233658/GeoGlobal-aims-to-sell-four-In.html?atype=tp 

Retail > Duty Free Shops
GMR looking to sell Hyderabad Duty Free Retail

GMR Hyderabad International Airport Ltd. (GHIAL) is looking to sell Hyderabad Duty Free Retail Ltd. (HDFRL), a GMR group company that owns and manages duty free outlets at the Hyderabad International Airport, reports PTI. HDFRL came into being after Nuance Group (India), a JV between Switzerland-based Nuance Group and Shoppers' Stop Ltd., severed a 7-year contract with GMR to run the outlets at Hyderabad Airport, citing poor sales in 2010.

As per the conditions laid down by the GMR Group, the bidder should be operating duty free outlets in at least two international airports, with one at least one in Asia. Its collective revenue should be a minimum of $50 million.

http://economictimes.indiatimes.com/articleshow/11950246.cms

BFSI > Banking
Fmr SKS CEO Gurumani in talks with PE firms to buy out Barclays' assets

A year and a half after leaving SKS Microfinance, Suresh Gurumani is set to launch a non-banking finance firm focusing on small and medium enterprises (SMEs), reports Mint. Gurumani could also bid for the Rs. 2,500 crore retail assets of Barclays Bank Plc in India. He has been forming a consortium of PE firms to bid for Barclays’ retail assets,. These firms are expected to bring in about Rs. 800 crore, while the rest will be raised as debt.

http://www.livemint.com/2012/02/15203153/Gurumani-set-to-start-nonbank.html?h=B

Media & Entertainment > Publishing (Newspaper)
Jagran Group in buyout talks with Nai Dunia: report

The Jagran Group is in talks to buy Nai Dunia, the Indore-based Hindi daily run by Vinay Chhajlani. Media industry experts estimate the deal size to be about Rs. 200 crore. 

Nai Dunia has been making losses for the past six years. It is published from Indore, Gwalior and Jabalpur in Madhya Pradesh, and Bilaspur and Raipur in Chattisgarh. Currently, Jagran Prakashan is battling part of the family that owns the newspaper title in Madhya Pradesh and prints the paper in that state. 

PE firm Blackstone Group invested Rs. 225 crore in Jagran Media Network Investment Pvt. Ltd., the holding company of Jagran Prakashan. Blackstone holds an estimated 12% of the company.

http://www.livemint.com/2012/02/13233236/Jagran-group-in-buyout-talks-w.html

BFSI > Life Insurance
New York Life looks to exit Max New York Life Insurance

New York Life Insurance Company plans to sell its near-26% stake in Max New York Life Insurance in a transaction that could see it sharing about one-third of its sale proceeds with Analjit Singh-led Max India, its local partner in the JV, reports Economic Times. The US-based insurer is in talks with a few European and Japanese companies as it seeks to exit India as part of its strategy to withdraw from Asia. 

The US insurer has agreed to pay around one-third of the sale proceeds to its local partner for its contribution in building the business and creating its valuation as well as for giving consent for the deal, even though Max India is not selling any shares itself. New York Life's stake in the Indian insurance JV is estimated to be worth around Rs. 3,500 crore and Max India could end up earning Rs. 1,000-1,100 crore on the basis of this valuation. 

Max India has a 70% stake in the JV and Axis Bank holds the remaining 4%. The money earned by Max India from the transaction will be used to make good its accumulated losses in the insurance business and also scout for inorganic growth opportunities. 

For more information:  

http://economictimes.indiatimes.com/articleshow/11892571.cms 

http://www.maxnewyorklife.com

IT & ITES > Online Services (Shopping)
Snapdeal in talks to acquire e-commerce co

New Delhi-based group buying portal Snapdeal is in advanced talks to acquire an e-commerce company, reports Economic Times. Snapdeal, which raised $40 million last year, is looking to buy a small-to-mid-size portal that will allow it to expand beyond the group buying space.

http://articles.economictimes.indiatimes.com/2012-02-18/news/31075027

Energy > Renewable Power Projects (Wind)
Lanco to exit wind energy business

Lanco Infratech Ltd. has decided to exit the energy segment and has given the mandate for selling the business to audit and consulting firm Ernst & Young, reports Mint. Lanco has 5,000 MW of wind power licenses and had acquired land for 600 MW of capacity through Lanco Wind Power Pvt. Ltd. The decision comes at a time when the company is laden with a debt burden of Rs. 29,666 crore as of 30 September, 2011.

http://www.livemint.com/2012/02/14000757/Lanco-to-exit-wind-energy-busi.html

BFSI > Financial Services
Future Group looking to exit financial services ventures

The Future Group is looking to exit its financial services ventures including NBFC Future Capital Holdings and the two insurance JVs with Italy’s Generali Group, reports Business Standard. Likely suitors include PE players Bain Capital and Apax Partners. Talks with Deccan Chronicle Holdings have been inconclusive.

http://business-standard.com/464620/

BFSI > Banking
Malaysia's CIMB in talks to buy RBS' Asia units: report

Malaysia's CIMB Group Holdings Bhd is in talks to buy the Asian equities and investment banking units of Royal Bank of Scotland Group Plc (RBS), reports Reuters. It had been reported last week that CIMB and China International Capital Corp. are the remaining bidders in the running to buy RBS' Asian equities, mergers and acquisitions and research businesses. RBS has been selling some of its businesses as part of its plan to scale down its non-core units on its road to recovery from the 2008 financial crisis.

http://economictimes.indiatimes.com/articleshow/11911647.cms

IT & ITES > IT Services
Hexaware founders appoint Morgan Stanley, Credit Suisse for stake sale

The founders of mid-tier IT services firm Hexaware, Atul Nishar and family, who own a 28% stake, and PE investors led by General Atlantic, have appointed Morgan Stanley and Credit Suisse to help find buyers for the company, reports Economic Times. General Atlantic had invested in the company in 2006 and owns close to 15% stake in the company, through a combination of ADR's and shares listed in India. It sounded off investment banks about its plans to exit the company in July last year. PE fund ChrysCapital also owns close to 10% stake in Hexaware through an investment vehicle called Dali Investments. 

Hexaware has annual revenues in excess of $250 million. 

For more information:  

http://economictimes.indiatimes.com/articleshow/11871280.cms 

http://hexaware.com

Media & Entertainment > TV Channel
Zee Network emerges front-runner to buy NewsX

The Subhash Chandra-promoted Zee Network has emerged as the front-runner in acquiring a 51% stake in English news channel NewsX, reports Business Standard. The deal is likely to be struck at Rs. 65-70 crore. 

The channel is now jointly promoted by Nai Dunia owner Vinay Chhajlani and the former editor of BusinessWorld, Jehangir Pocha. They bought it in 2009 from INX. At present, it operates three channels —  Hindi music channel 9XM, Punjabi music channel 9X Tashan, and Marathi music channel 9X Jhakaas.

http://www.business-standard.com/464817/

IT & ITES > IT Training
Aptech looking for LatAm acquisitions

Mumbai-based listed IT services and training firm Aptech is scouting for acquisitions in Latin America, reports Financial Chronicle. The mid-sized firm aims to tap fast-growing emerging markets to diversify its dependence on the US, which at present is the single largest market for Indian software service providers.

The Rakesh Jhunjhunwala-backed company wants to enter Latin American markets and expand its footprint in Mexico, Columbia and Brazil among others either via acquisitions or through joint ventures with local firms.

http://www.mydigitalfc.com/news/aptech-looks-buys-partners-latam-expand-800

Manufacturing > FMCG
Marico looks to divest 3 non-focus brands

Mumbai-based listed FMCG firm Marico is looking to sell some of its non-focus brands such as toilet soap brands Camelia and Aromatic and pre-wash starch brand Revive, reports Financial Express. In July 2009, Marico Bangladesh had acquired Aromatic with some intellectual property rights from Aromatic Cosmetics, a personal care company in Bangladesh.

http://www.financialexpress.com/news/marico-looks-to-divest-3-nonfocus-brands/914306/0

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Fund News

Summit Partners opens office in Mumbai

Growth equity investor Summit Partners has established an office in Mumbai to be managed by Amit Chaturvedy, Director-India. The office will increase investment activity in India and support North American and European-based portfolio companies with their expansion efforts in the region. Gaurav Prakash and Miloni Shah, Associates, will be part of the team. 

Summit Partners will invest in the range of Rs.50 crore ($10 million) to Rs.500 crore ($100 million) per company.

http://bit.ly/xRmxi2 

L Capital set to raise $1-B Asia fund this year

L Capital Asia, the PE arm of luxury goods group LVMH Moët Hennessy Louis Vuitton SA, may raise a new fund of more than $1 billion this year, reports Reuters, The move is driven by opportunities to invest in Chinese retailers, who are facing increased competition from Western brands.

L Capital's current fund for Asia is $650 million, but it expects to invest about $1 billion in total, since the firm regularly goes into deals with co-investors. The fund recently bought an 8% stake in ethnic wear chain Fabindia. Last year, it had acquired a 25.5% stake in Genesis Luxury Fashion Pvt. Ltd.

http://in.reuters.com/article/2012/02/16/lcapital-lvmh-idINDEE81F08920120216 

New Funds (Closed)

Helion raises $219-M for Fund III

Bangalore-based Helion Venture Partners has raised $219 million as part of its third India-dedicated fund, reports Startup Central. The third fund, which the firm started raising in the latter half of 2011, comes nearly four years after its previous $210 million fund. This takes the total corpus raised by the firm so far to $569 million. 

By September last year, the firm’s portfolio had 35-odd companies and it had invested $266 million out of its available corpus of $350 million.

http://bit.ly/z2d6oR 

New Funds (Being Raised)

Paracor Capital to raise Rs.987-Cr RE fund

Paracor Capital Advisors is in the process of raising a $200 million (Rs. 986.99 crore) real estate fund focused on residential projects across the seven top Indian cities, reports Financial Chronicle. The fund, being raised from high net worth individuals (HNIs), will be invested over a period of 3-5 years. The fund raising will be closed by around June.

http://goo.gl/vCydr 

Yunus, IIM-A to float Rs. 50-Cr social investment fund

Nobel laureate Muhammad Yunus, the Father of Microfinance and Chairman of the Yunus Centre in Bangladesh, has joined hands with IIM-Ahmedabad to float a Rs. 50 crore fund to seed social ventures, reports Economic Times. He will help raise the corpus and mentor social entrepreneurs. His alliance with IIM-A follows a year of discussions with the latter’s Centre for Innovation Incubation and Entrepreneurship (CIIE), which has been involved in incubating early-stage enterprises across the healthcare, education and livelihood space.

The partners will collaborate with the Mumbai-based arm of Grameen Creative Lab (GCL), which seeds social businesses.  It is a JV between the Yunus Centre and Circ-Responsibility, a consulting company in Germany.

http://economictimes.indiatimes.com/articleshow/11906120.cms

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Real Estate News

Embassy to raise funds for Rs.3,000-Cr township

Bangalore-based realty firm Embassy Group is close to embarking on a massive 80 million sq ft integrated township development worth Rs. 3,000 crore, reports Business Standard. The company, which has accumulated land close to 300 acres over the years near the Bangalore International Airport (BIA) is understood to be in talks with various PE and strategic investors to raise equity for the project.

Embassy may be looking to infuse close to Rs. 700 crore equity into this project, a part of which is expected to be from an external source. Potential investors include Malaysia’s Emkay Group.

http://www.business-standard.com/464883/

Adani Group to set to acquire Andheri plot for Rs. 300 crore

The Adani Group is acquiring a prime 2 acre plot and additional development rights on it at Mumbai’s Andheri suburb for Rs. 300 crore, reports Economic Times. The deal, which is in the works and is likely to be concluded in the next few weeks, is directly being undertaken by the promoters of the group as Adani Enterprises has decided to focus on businesses of ports, power and energy.  The land, with total development potential of 650,000 sq ft of saleable space, is part of a large parcel on which Mumbai-based real estate developer Housing Development & Infrastructure (HDIL) is developing a mixed use project.

http://economictimes.indiatimes.com/articleshow/11956481.cms

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New Ventures

Vikram Gandhi sets up investment bank VSG Capital Advisors

Vikram Gandhi, former vice-chairman of investment banking and global head of the financial institutions group at Credit Suisse, is setting up an investment bank called VSG Capital Advisors, reports Mint. The New Delhi-based firm will handle domestic and cross-border deals and advise high networth individuals and global institutional investors such as pension funds and sovereign wealth funds (SWFs) which are looking to increase their allocation to India. In addition, the firm will also look to advise on investments in the social sector. 

Before working for Credit Suisse, Gandhi spent at least 15 years with Morgan Stanley in different roles.

http://www.livemint.com/2012/02/13224724/Vikram-Gandhi-sets-up-own-inve.html

Future Group set to form sourcing JV with Mitsubishi

The Future Group is close to finalizing a deal with Japan’s Mitsubishi Corporation and Lawson for a food sourcing, manufacturing and distribution venture, reports Business Standard. Lawson, part of Mitsubishi, is Japan’s second largest convenience store chain. The Future Group is likely to create a holding company where the group’s various operating companies will first get transferred and then the foreign partner will pick up a strategic stake. 

That would cover the food parks, the agri and dry grocery sourcing unit Future Agrovet, Future Farm Fresh, the fresh fruits and vegetables sourcing entity, private label divisions like Capital Foods and Future Consumer Enterprises, and the cash-and-carry distribution set-ups of Aadhar, and KB’s Fair Price stores.

http://business-standard.com/464620/ 

Celebrity management firm Kwan in talks with CAA for JV

Celebrity management and entertainment firm Kwan is in talks to set up a joint venture with Creative Artists Agency (CAA), global talent, entertainment and sports management agency with offices in Hollywood, London, Beijing, Dubai and Stockholm, reports Economic Times. Some of CAA's celebrity clients include Hollywood's biggest names such as George Clooney, Meryl Streep, Brad Pitt, Oprah Winfrey, Juila Roberts and Steven Spielberg.

http://economictimes.indiatimes.com/articleshow/11920415.cms 

Tiles maker Asian Granito forms JV with Italian firm

Publicly listed tiles manufacturer Asian Granito India Ltd. has formed a joint venture with Italy-based Panariagroup Industrie Ceramiche SPA for the marketing and sales of tiles.

http://bit.ly/AfsjmD 

Mercedes to invest Rs. 350-Cr in new assembly lines

Mercedes-Benz India Pvt. Ltd. may invest at least Rs. 350 crore to expand its capacity to assemble cars locally, reports Mint. The investments will be made to set up two assembly lines, in addition to the one that exists at its Chakan plant, near Pune.

http://www.livemint.com/2012/02/13234918/Mercedes-may-invest-Rs-350-cr.html?h=B 

Amway India to invest Rs. 300-Cr in new manufacturing facility

Amway India is to invest Rs. 400 crore in India in the next two years on a manufacturing facility and for its headquarters in Delhi, reports Business Standard. The greenfield manufacturing facility is likely to require an investment of Rs. 300 crore. Amway’s turnover is expected to touch Rs. 2,500 crore this year.

http://www.business-standard.com/464563/

Magma Fincorp to launch gold, housing finance biz in FY13

Retail NBFC Magma Fincorp is planning to start its gold finance business in the first half of next financial year. It will also start its retail housing finance business during the next fiscal. The company currently deals with commercial vehicle finance, car and utility vehicle finance, construction equipment finance, tractor finance and SME loans.

http://economictimes.indiatimes.com/articleshow/11915122.cms 

KEC to set up new unit in Vadodara to manufacture EHV cables

KEC International, a power transmission company involved in the supply and construction of power lines, is foraying into extra high voltage (EHV) cable business by setting up a production facility in Vadodara, reports DNA India. The plant would entail an investment of Rs. 175 crore and commence operations in the next quarter.

http://www.dnaindia.com/money/report_kec-to-venture-into-ehv-cables_1650724 

Allcargo to demerge NVOCC business

Mumbai-based listed Allcargo Logistics Ltd. is considering a plan to demerge its non-vessel owning common carrier (NVOCC) or less than container load (LCL) business into a separate company to give better value to its shareholders, reports Mint. The segment accounts for 70.75% of Allcargo's turnover and one-third of its EBITDA.

http://goo.gl/bs1gb

TCG Lifesciences to enter biotech space

TCG Lifesciences, the Rs. 500 crore CRO venture of The Chatterjee Group, plans to enter the biotechnology sector to develop a portfolio of pre-clinical molecules for discovery of new drugs, reports Business Line. It is also exploring the possibility of expanding its laboratory facilities in the country.

http://www.thehindubusinessline.com/companies/article2904180.ece

Hindustan Copper to invest Rs. 3,435-Cr in 8 mining projects

Hindustan Copper Ltd. is planning to invest Rs. 3,435 crore to execute eight mining projects across the country over the next five years, reports PTI. Work on two projects -- Banwas and Khetri -- has already commenced and a tender for the Kolihan mine expansion is under process.

http://bit.ly/xdLQd8

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India, Ahoy!

Belgian sweetener maker Sweetwell enters India

Belgium-based sweetener maker Sweetwell has entered India with plans to invest around 15 million euros (nearly Rs. 100 crore) in the next five years for manufacturing and marketing initiatives, reports PTI. The company, which has set up a subsidiary in India -- Sweetwell India Pvt. Ltd. -- also expects to achieve a turnover of Rs 100. crore in the next five years. It will set up a greenfield manufacturing unit in the NCR.

http://bit.ly/AnLhCc 

World Kitchen launches India subsidiary

US-based World Kitchen Holding Company LLC, which markets and distributes high-end kitchenware brands like Corelle, Corningware and Pyrex cutlery, has set up a wholly owned subsidiary in India to be called World Kitchen (India), reports Economic Times. World Kitchen Holding has further tied up with TTK Prestige as a distribution partner for the southern states.

http://economictimes.indiatimes.com/articleshow/11916679.cms 

US medical devices maker Covidien sets up India R&D center

Covidien, a US-based manufacturer of medical devices and pharmaceuticals, has set up its first R&D center in the country, in Hyderabad. Apart from designing products to suit local market needs, the R&D unit will provide a range of engineering services for the company's medical products business. It will hire over 350 professionals over the next two years. Some 30 people are already working at the 40,000 sq ft facility.

www.thehindubusinessline.com/companies/article2900188.ece

Silicon Images opens R&D center in Hyderabad

US-based connectivity solutions provider Silicon Image Inc. has opened an R&D center in Hyderabad to design and develop semiconductor and intellectual property (IP) core technologies for implementation in mobile, wireless and consumer electronics products, reports Mint. The India office will house 80 employees initially.

http://www.livemint.com/2012/02/17164509/Silicon-Images-opens-RampD-c.html?h=E\\

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People

LIC appoints Sushobhan Sarker as MD

LIC has appointed Sushobhan Sarker as MD, reports PTI. Sarker had joined LIC as a probationary direct recruit in 1978 and has handled portfolios relating to insurance, marketing and investment.

http://bit.ly/zk0mz2 

Vserv appoints ex-Yahoo & Facebook exec TS Ramakrishnan as Advisor

TS Ramakrishnan, a veteran technology architect who has worked with Facebook, Skype, Yahoo!, AdMob and Oracle, has been named Technology Advisor to Vserv.mobi, an IDG Ventures-backed mobile advertising network for App developers, publishers and advertisers for emerging markets, reports Business Standard. In this role, he will provide expert counsel and insights on new media industry to strengthen Vserv.mobi’s technology edge in the marketplace.

http://www.business-standard.com/464756/

Bala Parthasarathy, Co-Founder of Snapfish, joins Canvera’s Board

Bala Parthasarathy, one of the co-founders of Snapfish, has joined the board of Indian online photography company Canvera.com as an advisor. Canvera provides hosted e-commerce solutions to photographers that allow them to market themselves better and monetize their work through printed products, online solutions and stock photography.

http://www.businesswireindia.com/PressRelease.asp?b2mid=30139 

Shriram AMC appoints Akhilesh Kumar Singh as MD

Publicly listed Shriram Asset Management Company Ltd. has appointed Akhilesh Kumar Singh as MD. He replaces R Sundararajan, who will continue as the director of the company.

http://bit.ly/w5tujM 

Ex-Citibanker Joginder Singh Rana named Ratnakar Bank COO

Joginder Singh Rana, a Citibanker for 22 years, has joined Ratnakar Bank as COO, reports Business Standard. Recently, R Gurumurthy and Tajinder Kumar joined Ratnakar as head of corporate & institutional banking and head or HR, respectively. While Gurumurthy was previously with StanChart Bank, Kumar was with Deutsche Bank Singapore.

http://www.business-standard.com/465204/ 

Tulip Telecom appoints Umesh Garg as CFO

New Delhi-based listed telecom software firm Tulip Telecom Ltd. has appointed Umesh Garg as CFO. Garg is a Chartered Accountant with experience in diversified sectors including telecom, steel, power and

polyester fiber. He had earlier worked with Shyam Telecom.

http://www.bseindia.com/xml-data/corpfiling/AttachLive/Tulip_Telecom_Ltd_180212.pdf 

Prashanth Sabesan joins Majmudar & Co

Prashanth Sabeshan has joined Majmudar & Co. as a Partner with effect from February 16, 2011, reports Bar and Bench. He will be based in the Bangalore office but will work across all offices in India to look after the firm’s banking and infrastructure practice. Prior to joining Majmudar, Sabeshan was working as an in-house Senior Counsel on an Indonesian infrastructure project and was based in Singapore. 

Sabeshan is a graduate of National Law School of India University, Bangalore. He had previously worked with Norton Rose in Singapore and Freehills in Melbourne, Australia. Before that he was a Partner at the Mumbai office of Amarchand Mangaldas in the infrastructure and project finance group.

http://www.barandbench.com/brief/2/2070/Prashanth-Sabeshan-joins-Majmudar-&-Co.--

Sonata appoints Srikar Reddy as CEO

Publicly listed Sonata Software Ltd. has appointed Srikar Reddy as MD. He was earlier the company’s JMD and COO. Reddy replaces Sanjay Viswanathan, who resigned as MD & CEO.

http://bit.ly/AyAWFc

Jagdish Mahapatra joins security software firm McAfee as MD

Security software provider McAfee has appointed Jagdish Mahapatra as the MD for India and SAARC operations reports PTI. Based in Mumbai, he will report to Wahab Yusoff, Vice-President South Asia. Mahapatra was earlier with Cisco Systems India, Godrej Pacific and Larsen & Toubro.

http://bit.ly/zDRO0q

Zydus Wellness appoints Elkana Ezekiel as CEO & MD

Elkana Ezekiel has been appointed as the  CEO of Zydus Wellness Ltd. Post completion of formalities, he will take over as the MD of the company. Prior to this, he was the Regional Franchise Director, Baby care - Asia Pacific Region, Johnson & Johnson, Singapore.

http://bit.ly/ArdkjD

Indoco Remedies appoints Aditi Kare Panandikar as MD

Publicly listed Indoco Remedies Ltd. has appointed Aditi Kare Panandikar as MD and Sandeep V Bambolkar as JMD of the company. Suresh G Kare, the company’s CMD, has relinquished the post of MD while retaining that of the Chairman.

http://bit.ly/xO9rgX

Everonn Education co-founder P Kishore resigns

P Kishore has quit publicly listed Everonn Education Ltd. as MD and Director. He was among the company’s co-founders.

http://bit.ly/xoqGLH

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Regulatory News

TRAI moots 74% cap on FDI in telecom tower firms

The Telecom Regulatory Authority of India (TRAI) has suggested capping foreign holding at 74% in telecom tower companies, reports Telegraph India. The proposal, if accepted, could dissuade buyouts by overseas companies. The new proposal will be significant for Reliance Communications, which is trying to sell its tower business unit — Reliance Infratel — to raise funds, and is said to be in talks with US PE firm Blackstone and Carlyle. It could also mean New York-listed American Tower, the world’s largest tower firm owning 100% of its Indian subsidiary, will have to look for a local partner.

http://bit.ly/yOPpmi

New rules for telecom M&As, spectrum announced

The government has announced new rules governing the issue of licenses and spectrum, and mergers and acquisitions (M&As) in the telecom sector, reports Mint. At their core, the rules seek to remove ad hoc allocation of spectrum. 

The rules, which come into effect immediately, delink spectrum from licenses (currently any telco granted a license is eligible for so-called start-up spectrum), allow those with licenses the right to launch any telecom or Internet service, institute a uniform license fee, set a cap on the spectrum that will be allotted to a telco, provide a detailed framework of how to deal with spectrum in case of a merger, and define a route for the renewal of licenses issued in 1994 that expire in 2014. They also provide clarity on the sharing of spectrum.

http://www.livemint.com/2012/02/15162004/New-rules-for-MampAs-spectr.html

New format for financial statements introduced

The Ministry of Corporate Affairs (MCA) has issued a revised Schedule VI to the Companies Act that lays down a new format for presentation of financial statements by Indian companies, reports Economic Times. It will apply to many companies for the year ending March 31, 2012. The revised Schedule VI aims to make financial statements more relevant to users by adding disclosures that are necessary for a correct assessment of the financial position of a company. It also eliminates disclosures such as licensed capacity and quantitative details of inventory that may not be relevant to users.

A significant new requirement is to classify all assets and liabilities into current and non-current categories. What constitutes a current asset or a current liability is defined. Essentially, assets or liabilities that are expected or due to be realized or settled within 12 months from the balance sheet are classified as current.

http://economictimes.indiatimes.com/articleshow/11906507.cms

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Other News

Vikram Akula slaps legal notice on SKS Microfinance

Vikram Akula has served a legal notice to SKS Microfinance, in which he served as executive chairman till November 2011, reports Business Standard. The notice seeks a refund of the money paid towards exercising 906,734 stock options. Akula is believed to have paid Rs. 4 crore towards the exercise of these shares. The stock options are part of the compensation for Akula’s service to the company between 2007 and 2011. However, before he resigned, he had sent a notice to SKS on October 14, seeking to exercise his stock options.

http://www.business-standard.com/464933/

MP govt. gives Rs. 66-Cr to ailing Nepa Mills

The Madhya Pradesh government has invested Rs. 66 crore in the form of share capital to ailing paper producer Nepa Mills, and said it would waive off interests on the principal amount that the PSU owes to the state for long, reports Business Standard. A state cabinet meeting decided to waive off Rs. 33 crore interests and convert the principal Rs. 32 crore into equity.

http://www.business-standard.com/464690/

Telenor to drop Unitech as Indian JV partner

Norway’s Telenor wants to drop its Indian JV partner Unitech after the Supreme Court revoked their mobile licenses, reports Reuters. Telenor is now seeking a new local partner.

http://economictimes.indiatimes.com/articleshow/11902375.cms 

Grupo Mexico wins $83-M in Sterlite case over Asarco

Grupo Mexico has won $82.8 million in a lawsuit against Indian copper producer Sterlite Industries, a unit of Vedanta Resources, over a failed deal to buy its Arizona-based Asarco out of bankruptcy, reports Business Standard. The amount was less than the $2.28 billion the copper miner wanted, following Sterlite’s decision in 2008 to walk away from a deal to buy the company. 

Sterlite, which blamed a drop in copper prices for failing to close the deal, harmed Asarco by delaying its exit from bankruptcy, the US judge said. The damages were reduced because Grupo Mexico and Sterlite waged a 2009 bidding war for Asarco, which the former won.

http://www.business-standard.com/464816/

TCS drops bid to buy out Lufthansa's IT division

Tata Consultancy Services (TCS) has dropped plans to acquire a controlling stake in Lufthansa Systems, a unit of German airline Lufthansa, as the company was taking unusually long time to arrive at a decision, reports Times of India. It had made a conditional offer of $500 million for the unit.

http://timesofindia.indiatimes.com/articleshow/11957447.cms

SEBI rejects Rs. 260-Cr preferential warrant issue by Strides Arcolab

Market regulator SEBI has rejected a proposal by Bangalore-based pharma company Strides Arcolab to issue warrants worth Rs. 260 crore on a preferential basis to its promoters, reports Business Line. SEBI said the rules governing preferential allotments would apply for transfers within the promoter group. 

Strides had sought SEBI’s guidance on whether transfer of shares by the promoter group between itself would be considered a ‘sale’ under the Issue of Capital and Disclosure Requirements (ICDR) regulations. The ICDR norms don’t mandate an issuer to make preferential issue of shares or specified securities to any person who has sold equity shares of the issuer during the six months preceding the date of allotment.

http://www.business-standard.com/465035/

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