Case Study
Case Study
Case Study
VENTURE CAPITAL
Entrepreneurs often turn to venture capitalists for money because their company is so new, unproven and risky that more traditional forms of financing, such as through banks, aren't readily available. Unlike other forms of financing where entrepreneurs are only required to pay back the loan amount plus interest, venture capital investments most commonly come in exchange for ownership shares in the company to ensure they have a say in its future direction. Not all venture capital investments take place when a company is first being founded. Venture capitalists can provide funding throughout the various stages of a company's progression. Research from the National Venture Capital Association revealed that in 2010, venture capitalists invested approximately $22 billion into nearly 2,749 companies, including 1,000 of which received funding for the first time. Among the more famous companies to receive venture capital during their startup periods are Apple, Compaq, Microsoft and Google. Venture capital (VC) funding in the Healthcare IT sector witnessed 168 funding deals in the second quarter of 2013 as against 104 deals in the first quarter. According to a report by communications and consulting firm Mercom Capital Group around $623 million was raised in the sector quarter in the Healthcare IT sector
CAN bank venture capital fund ltd Gujrat venture vapital fund Sidbi venture capital Angel venture capital Accel Partners India Artheon Ventures Artiman Ventures August Capital Partners
Blue Run Ventures DFJ India Epiphany Ventures Helion Venture Partners IFCI Venture Capital Funds India Innovation Investors Infra Co Asia Development Ltd. Inventus (India) Advisory Company JAFCO Asia Netz Capital Nexus India Capital Ojas Venture Partners Reliance Venture SAIF Partners Sequoia Capital Tuscan Ventures Trident Capital Veddis Ventures Venture East
Software company Wipro said on Thursday it has completed a $93- million deal to acquire fast-growing back-office service firm Spectramind. Wipro, which aims to become a one-stop shop combining software writing with back-office services offered over high-speed telecommunication links, last month announced it would buy 66 per cent of Spectramind for $83 million, lifting its total stake to 90 per cent.With more than 2,700 employees, Spectramind offers backoffice services including payroll and bill processing to corporate clients, most of whom are boosting outsourcing to cut costs.
The buying of the business process outsourcing (BPO) firm is the largest of its kind in the fast-growing Indian information technology enabled services sector. "With this strategic acquisition, Wipro Technologies, the global IT services division of Wipro, along with Spectramind will offer integrated solutions for all BPO needs of clients worldwide," New York-listed Wipro said in a statement. Wipro, with a market capitalization of around $6 billion, first paid $10 million for a 24 per cent stake in Spectramind, which expects sales to grow four times to $45 million in the year to March 2003. Billionaire Azim Premji, who owns more than 80 per cent of Wipro, funded the purchase from the company's cash chest, which stood at $354 million on June 30. Fourcee Infrastructure Raises Rs 50cr From Mayfield, SIDBI Venture march 2010 Fourcee Infrastructure Equipment Pvt Ltd has raised Ra 50cr from Mayfield India fund and SIDBI Venture Capital Ltd. The company will use the funds to expand tank terminals, add more containers and to strengthen its infrastructure.
Forcee Infrastructure, incorporated in 2002, is focused on providing end-to-end logistics solutions for liquid cargo through road and railways using its own specialised designed containers. Mayfield Fund is a venture capital firm with over $2.8bn under management. Mayfield India focuses on companies in sectors like consumer, specialty retail, technology & technology enabled services, infrastructure ancillaries and agri related companies. SIDBI Venture Capital Ltd. is a wholly owned subsidiary of Small Industries Development Bank of India. The fund's latest investments are Associated Powercon Equipments India Pvt. Ltd., DigiBee Microsystems Ltd, Centaur Pharmaceuticals among others.
Silicon Valley-based VC firm Khosla Ventures (KV) has received $15 million of funding from Azim Premji, the Chairman of Indian technology company Wipro. Khosla Ventures was founded by Vinod Khosla, who was a co-founder of Sun Microsystems and a former general partner of venture capital firm Kleiner Perkins Caufield & Byers. In 2009, KV completed fundraising for two cleantech funds, raising $1.1 billion. Those vehicles were reportedly gained notable financial backers including former British Prime Minister Tony Blair and Microsoft founder Bill Gates.
KV manages two funds, one for seed investments and a main fund. Both maintain interests in high-tech industries ranging from mobile to alternative energy to materials. GVFL (gujrat venture fund ltd) invests in Sahajanand Laser Technology. GVFL, Indias pioneer Venture Capital Company today announced an investment of Rs. 40 million in Sahajanand Laser Technology Limited, Indias one of the largest manufacturers of Laser Systems for Diamond Industry. GVFL will make the investment from its Rs. 296 million Gujarat IT Fund. Sahajanand Laser Technology based in Gandhinagar will be utilizing the funds in the expansion of their range of high end laser machines. Picking up innovative technology companies early and nurturing them to leadership is GVFLs forte. Sahajanand Laser pioneered the laser technology for diamond industry in India. With India emerging as the global destination for diamond cutting and adding value to small and very small diamond roughs, Sahajanand has the potential to become a definite winner with GVFLs effective nurturing and constant support, says Mr. Vishnu Varshney, CEO of GVFL Ltd. Sahajanand Laser is the 61st investment being made by GVFL in innovative technology companies across India. Sahajanand Laser is the first Indian Company to introduce a Fiber Laser Machine in India. We have ushered a revolution in the development of laser systems for diamond industry and feel that with GVFLs support we can kick-start our expansion growth exponentially, adds Mr. Arvind Patel, Managing Director of Sahajanand
Laser. Mr. Patel is a renowned technologist known for his inventions in the field of Laser Machines. He has several patents to his credit and has also received many national awards for his innovative laser technology
Aura
herbal textiles ltd Aura set up its plant in Ahmedabad with seed
funding from GVFL Limited Levis has started sourcing organic fabric from an Ahmedabad-based firm, Aura Herbal Textiles, for its herbal T-shirts. Aura Herbal was incubated at Indian Institute of Management-Ahmedabads Centre for Innovation, Incubation and
Entrepreneurship. We are working with Levis to provide organic material for their herbal T-shirts. The company is likely to launch the product in Europe and US this year. Fabrics are manufactured without involving chemicals at any step, says Arun Baid, who started the company in 2002 with wife Sonal. When contacted,Levis,however,refused to comment on the development. Aura also plans to introduce herbal undergarments in India this year besides foraying into retail business. In conventional dyeing, around 8,000 chemicals are used to dye fabric. Some chemicals may affect skin adversely.But,we aim to add eco-friendly products not just to earn money but also to prevent global warming and pollution related to textiles, says Baid,who already has over 500 clients in Europe,US,Australia and besides being associated with the Taj Spa Hotels supplying entire bath range, spa collection and home textiles. Aura set up its plant in Ahmedabad with seed funding from GVFL Limited,a state government-promoted venture capital fund.The company sources herbs and other raw materials through made-to-order contracts with farmers in Madhya Pradesh and parts of South India. Our target turnover is Rs 4 crore this year and we aim to double it over the next couple of years, says Baid, who has plans to enter the capital market in a few years time. Canbank Venture Capital Fund Limited fund 20 cr to scotts garments , 2002 Canbank Venture Capital Fund Limited (CVCFL), a subsidiary of Canara Bank, has picked up 6.11 per cent stake in Bangalore-based Scotts Garments Limited for Rs 20
crore. The CVCFL has made the investment through its Emerging India Growth Fund, a Rs 500 crore fund. Scotts Garments, promoted by Naseer Ahmed in 2002, is a 100 per cent export oriented unit with readymade garment manufacturing facilities at Bangalore and processing unit at Tirupur in Tamil Nadu. The company has been exporting garments to several global brands including Jack & Jones, Veromoda, Only, Marks & Spencer, American Eagle, H&M Hennes & Mauritz, Perry Ellis, Benetton, Walmart and Carrefour among others. The company, which is coming out with an initial public offer (IPO) to raise Rs 155 crore in January 2013, plans to part finance the setting up of new units for trouser manufacturing at Doddaballapur in Karnataka, knitting and fabric processing unit at Kagal in Kolhapur district of Maharashtra.We are already operating 21 manufacturing units in Karnataka and Tamil Nadu. We are investing Rs 300 crore to expand our manufacturing capacities in Karnataka and Maharashtra. We will use pre-IPO and IPO proceeds apart from term loans from Canara Bank to fund our expansion, Naseer Ahmed, managing director, Scotts Garments Limited said. He said the company would manufacture 25,000 pieces of denim garments per day at its new factory in Doddaballapurs apparel park near Bangalore. The company has acquired 15 acres at the park from the government. The unit will be operational in April 2013. Another unit planned in Kagal will have a processing capacity of 40 tonnes per day.We expect a huge market to open up for domestic garment companies once India signs the Free Trade Agreement with European Union. We want to be ready with new capacities to exploit the opportunities coming up, Ahmed said. The company, which reported a topline of Rs 500 crore in 2011-12, is looking at a growth of 10 per cent for the year-ending March 2013
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