Академический Документы
Профессиональный Документы
Культура Документы
5 A U G 1 2
1200.0 1000.0 800.0 600.0 400.0 200.0 0.0 29th July'12 PE Investments 34.2 7
1100.9
16 14 12 10 8 6 4 2 0
12
Investor (s)
Target
Stake (%)
Value ($mn)
Stage
Sector
Industry
Segment
Bain Capital Brick Eagle Capital L Capital Oman India Joint Fund Saif Partners Lok Capital, Omidyar Network, Elevar Equity Advisors, SVB India Accel Partners Sequoia Capital Foundation Capital, Inventus Capital SBI Holdings (Japan) Rare Enterprises Acumen Fund
Genpact Xrbia Developers PVR, subsidiary Solar Industries India Ammi's Biryani Vistaar Financial Services Pvt Ltd
30 NA NA 4.28 NA
NA
7.2
Growth
Services
BFSI
NBFC
Universal Collectabillia Practo Technologies Wealth India Financial Services Liqvid eLearning SpiceJet Edubridge Learning
NA NA NA NA 0.5 NA
Research4India is the research services arm of Four-S Services Pvt Ltd. Here we provide regular research reports on key sectors of the Indian economy, and large unlisted companies in these sectors. For subscription / custom queries, please contact Seema Shukla at seema@four-s.com.
PE firm Bain Capital Partners has agreed to buy around 30% stake in the business process management and technology services company Genpact Ltd for $1bn. The stake held by the existing investors of the company General Atlantic and Oak Hill Capital will be bought at $14.76 per share with an additional $2.24 per share of special dividend. The two investors still hold a 10%,
which will be worth another $382mn. Bain Capital has agreed not to sell any Genpact share for a period of two-and-a-half years. Four-S Comment: General Atlantic and Oak Hill bought 60% in Genpact in 2004 for $500mn. They subsequently reduced their stake to little over 40% after 2 rounds of sale. In this round of exit, they are estimated to have pocketed around $1.62bn (Bain deal of $1bn and special dividend) for 30% stake sale, thereby making around 6.5x return on investment. BPO and IT Services sector seems to be completing its first cycle of exits. Last year also saw some high profile PE exits in the sector - Blackstone exiting Intelenet by selling its majority stake to UKs Serco in a $634mn deal and General Atlantic selling Patni Computers stake for $254mn.
L Capital Asia has picked a 10% stake in Ajay Bijli-promoted PVR Ltd for Rs 577mn through a preferential issue. The fund will also invest Rs. 500mn to set up a joint venture with PVR, PVR Leisure Ltd, which will focus on in-mall entertainment, gaming, food and leisure. L Capitals holding in the venture will be 44%, with PVR taking 51% and the remaining going towards management stock options. PVRs existing investment in the bowling-alley business PVR BluO Entertainment Ltd, a joint venture established in 2009 with Thailandbased Major Cineplex, will now be held through this new company. Four-S Comment: PVR, which expanded from single screen theatre in New Delhi, has earlier seen interest from private equity investor. ICICI Venture had invested in the company in 2003 and 2005 totalling Rs 470mn. The PE firm made multiple partial exits from PVR starting with a pre IPO deal and subsequent open market deals thereby exiting completely in 2007 for Rs 1.95bn, making nearly 4x its investment. ICICI Venture again bought into the company in 2008 and currently holds a 7.79% stake.
Oman India Joint Investment Fund invests in Solar Industries Industrial explosives maker Solar Industries India has struck a deal to raise Rs 720mn ($13mn) from Oman India Joint Investment Fund through a preferential allotment for 4.28% stake. Founded in 1995, Nagpur-based Solar Industries (formerly Solar Explosives Ltd) has a capacity of over 2.8 lakh MT of explosives (with over 2.1 lakh MT of bulk explosives and the rest being cartridge explosives), 190 million detonators and 75 million metres of detonating fuse. It claims to have increased market share in India from 24% to 27% in FY12. Four-S Comment: The annual market of civil explosives in India is approximately Rs 22.50 bn which is around 5% of the global civil
Capital
invests
in
Xrbia
Brick Eagle Capital Group is investing Rs 2bn in five projects of Xrbia Developers Limited, affordable housing venture promoted by the Eiffel group. The fund has invested Rs 400mn in the first development and the rest of the money will go into the remaining ventures. The five projects will come up in the area of Karjat, near Mumbai, on 150 acres acquired by Brick Eagle and will be developed in partnership with Xrbia. The Group's realty footprints span across Pune, Mumbai, Nagpur, Delhi & Bangalore, with over 25 mn sft. of existing development and 119 mn sft of planned projects.
Research4India
SAIF Partners investing $7.2mn Ammi's Biryani SAIF Partners is investing Rs 400mn or $7.2mn in TMA Hospitality Services Pvt Ltd, which owns QSR chain Ammi's Biryani. The investment comes after SAIF Partners set up a Rs 1bn ($18mn) investment vehicle, Zooropa Foods Pvt Ltd, to invest and manage a chain of quick service and casual dining restaurants. Ammi's Biryani currently operates in Bangalore and was founded in 2008 by Navaj Sharief. It operates primarily as a take-away and delivery chain with 13 locations in Bangalore. Four-S Comment: Quick-service restaurants (QSRs) that operate in the value-for-money segment, are catching the fancy of PE/VC players. QSRs continue to report annualized growth figures of 25% to 30% and operate on minimum gross margins of 20%, despite the sullen economic mood. The sector is being driven by the younger generation, who continue to spend. Recent investments include Punebased QSR chain focused on selling seafood and fish products, Fishtro, raising $5mn from Correa Hospitality. Steammo also raised seed funding from IncuCapital earlier this year. Last year saw firms like Faaso's (Sequoia Capital) and Goli Vada Pav (Ventureast) raising money.
invests
in
Universal
Accel Partners has committed about $5mn in Universal Collectabillia, a celebrity merchandise and brand extension firm jointly owned by Anjana Reddy, who is part of the Deccan Chronicle family, and cricket legend Sachin Tendulkar. Collectabillia's business model now includes helping celebrities extend their brand beyond careers and has recently struck a deal with southern movie star Rajnikanth. It has similar deals with Sachin Tendulkar and tennis player Sania Mirza, besides owning rights for any sporting memorabilia related to Tendulkar.
Sequoia Capital invests in online clinic management platform Practo Bangalore-based Practo Technologies Pvt Ltd, a web-based clinic management software developer, has raised Rs 250mn (around $4.6mn) from Sequoia Capital in a Series A round of funding. Practos flagship product is Practo Ray, a web-based software tool which provides automated appointment scheduling and storage of healthcare records including Xrays, files, prescriptions and billing. The money raised will be used to launch its various products globally and expand Practos 80member team to around 350 over the next two years.
Vistaar raises $7.2mn from Lok Capital, Omidyar, Elevar & SVB Bangalore-based Vistaar Financial Services Pvt Ltd, a small enterprise financing firm, has Research4India 3
Edubridge Learning secures Rs 15mn from Acumen Fund Acumen Fund, a non-profit global venture fund which focuses on poverty alleviation across Africa and South Asia, has put in Rs 15mn ($300,000) in Mumbai-based education services provider Edubridge Learning Pvt Ltd. Edubridge provides vocational training for low-income youth across Maharashtra, Tamil Nadu, Karnataka and Chhattisgarh. Edubridge targets the youth aged between 18 and 25, who are typically the first formally employed members of their respective families. Till date, the company has trained over 1,500 students and with this investment, Edubridge plans to scale its services from 12 to 30 centres over the next two years.
E-learning firm Liqvid raises $3mn from Japan's SBI Holdings Liqvid eLearning Services Pvt Ltd, an integrated e-learning content solutions company, has raised $3mn in funding from a subsidiary of SBI Holdings, Japan. Headquartered in Noida, with offices in Bangalore, Singapore and the US, Liqvid provides technology-aided English Learning and Training (ELT) solutions to individuals and organisations under the brand EnglishEdge. The content can be accessed via PC, tablet and mobile, and the company claims that EnglishEdge has more than 2,50,000 learners across schools, colleges, vocational institutes and more. Its key institutional customers include IIT Delhi, Jamia Millia, Pinegrove School, Kimberley International School, Shemford Schools, British Council and Educomp, among others.
Rakesh Jhunjhunwala invests in SpiceJet Rakesh Jhunjhunwala has invested around R76.9mn in SpiceJet through its arm Rare Enterprises. The company acquired around 0.52% stake in the company. The investment came after SpiceJet posted a net profit of Rs Research4India
IndoUS Venture Partners raises $149mn for new fund IndoUS Venture Partners, a venture capital firm based in Bangalore, has raised $149mn for IndoUS Venture Partners II, LLC. While the venture capital firm has put $150mn as the total offering amount, this may not be the final close and the fund could be looking to raise up to $175mn. The fund made its first sale in October 2011, raising $97.5mn, and reached $132.5mn in April this year. Some of the recent investments made by the VC firm include baby products e-commerce venture Hushbabies.com and digital magazine store Magzter Inc. In 2011, IndoUS Venture also exited pharma retail chain MedPlus Health Services in a secondary deal in which it reportedly made 4x return.
India Value Fund to invest up to $180mn in Manipal Hospitals In what will be the largest private equity investment in an Indian healthcare firm, India Value Fund Advisors (IVFA) is committing up to Rs 10bn ($180mn) to Manipal Hospitals to rollout an aggressive inorganic expansion strategy over the next 4-5 years. In the first leg of the transaction, Manipal Hospitals is set to get Rs 3bn over the coming weeks from IVFA and investment will increase as we start acquiring assets in secondary & tertiary healthcare service providers besides day care surgery centres.
Kotak Realty Exits Lalith Gangadhar Kotak Realty Fund is exiting its investment in Lalith Gangadhar Constructions Private Limited, with around 10 times return on its investment in 2007. Kotak is selling its 49% stake for Rs 530mn to the promoters. The fund invested invested Rs 50mn for 49% stake in the real estate firm in 2007. Later in 2008, it invested rs 450mn in Lalith Gangadhars high-end villa project in Bangalore called LGCL Ashler.
Cox & Kings UK arm to raise $100mn from CVCI Mumbai-based travel services provider Cox & Kings Ltd is close to signing a deal to raise $100mn from Citigroups private equity arm Citigroup Venture Capital International (CVCI) for its UK-based arm. The company, which acquired UK-based Holidaybreak Plc last year, will use the money to part-retire its debt of Rs 12.5bn. In May this year, the company said that its board had approved investment of up to $140mn in Prometheon Holdings (UK) Ltd (a 5
Research4India
The Rs 40.8mn IPO of Jupiter Infomedia , a web infomedia company with online publications on business, encyclopedia and yellowpages, opened for subscription on July 31. It has fixed the issue price at Rs 20 a share and planned to offer 20.4 lakh equity shares through the issue, which closed on August 1. Jupiter Infomedia intends to use issue proceeds for purchasing and setting up of offices in Mumbai and Kolkata; renting offices in Ahmedabad, Chennai and Delhi; and initial operating expenses for the marketing/branch office (first three months).
Acquiror Sahara Group PhillipCapital Group Dhunseri Petrochem & Tea Hero MotoCorp Birla Shloka Edutech Ltd InMobi Source: Four-S PE Database
Target Plaza Hotel MF Global Sify Securities India Pvt Ltd - Sify's stake Global Tea & Commodities - 2 tea estates Erik Buell Racing Ojus Healthcare Pvt Ltd Metaflow Solutions
Research4India
Research4India
Research4India
About Research4India
Research4India is the research services arm of Four-S Services Pvt Ltd. Here we provide regular research reports on key sectors of the Indian economy, and large unlisted companies in these sectors. These reports will be available on our upcoming site www.research4india.com, as well as from leading international research sellers like Thomson Reuters, Bloomberg, Research and Markets, CapitalIQ etc.
Disclaimer The information contained herein has been obtained from sources believed to be reliable but is not necessarily complete and its accuracy cannot be guaranteed. No representation, warranty, guarantee or undertaking, express or implied, is made as to the fairness, accuracy or completeness of any information, projections or opinions contained in this document or upon which any such projections or opinions have been based. Four-S Services Pvt. Ltd. will not accept any liability whatsoever, with respect to the use of this document or its contents. This document has been distributed for information purposes only and does not constitute or form part of any offer or solicitation of any offer to buy or sell any securities. This document shall not form the basis of and should not be relied upon in connection with any contract or commitment whatsoever. This document is not to be reported or copied or made available to others. The company may from time to time solicit from, or perform consulting or other services for, any company mentioned in this document.
For further details/clarifications please contact: Seema Shukla Seema@four-s.com Gurgaon Office: 214, Udyog Vihar, Phase I, Gurgaon 122016 Tel: +91-124-4251442 Ajay Jindal Ajay.jindal@four-s.com Mumbai Office: 101,Nirman Kendra, Opposite Star TV, Off Dr E Moses Road, Mahalaxmi, Mumbai 400001 Tel: +91-22-42153659
Research4India