India April 30 Weekly Newsletter 2012

This document covers news related to India with a special focus on areas like mergers & acquisitions, private equity & venture capital.

Volume 131, April 30th, 2012

For the period April 23, 2012 to April 29, 2012 April 30, 2012 [INDIA WEEKLY NEWSLETTER]

Highlights

Murugappa Group may buy out UB Group In Mangalore Chemicals…(3)

Rossell India Acquires Tea Estate Of Dhunseri Content Pages Petrochem…(4) Publicis Group Acquires Digital Media Agency Mergers & Acquisitions News 3-4 - Indigo Consulting…(4)

Mergers & Acquisitions Deals 4-6 Eros International Acquires 76% in B4U Television…(5) Private Equity News 6-9 Intas Pharma To Raise Rs250 cr from PE Private Equity Deals 9-12 Funds For Expansion…(6) Chernin Group Secures $200 mn in Private Venture Capital News 12-12 Equity…(7)

Venture Capital Deals 12-13 SIDBI raises Rs670 cr for India Opportunity Fund…(8)

Xander’s PE Arm Invests $40 mn in Chennai’s Appaswamy Realty Project…(9)

New Silk Route Buys Into Fast Food Chain Adiga’s…(10)

Forum Synergies puts $3 mn in Captronic Systems…(11)

Accel Partners, IDG Ventures invests $5 mn in Forus Health…(12)

Freshdesk Raises $5 m in Second Round Of Funding Led By Tiger Global…(13)

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Mergers & Acquisitions News

Man Group To Exit Real Estate Biz, Focus On Steel Pipe Manufacturing

Man group is planning to exit its real estate business to focus on its core business of steel pipe manufacturing. The group, which has invested Rs350 cr in real estate via its subsidiary Man Infraprojects, will sell off its projects in 18 to 24 months. Founded in 2006, Man Infraprojects is engaged in real estate management and development. It undertakes hospitality, residential, commercial, information technology park, and SEZ projects. The Man Group promoted by the Mansukhani Family in the 1970s is a diversified group with its flagship company Man Industries (India) Ltd. It was incorporated in 1988; it commenced operations with the manufacturing of aluminium extrusion products at a unit in Pithampur, MP. In 1995, it diversified into manufacturing SAW pipes. In 2005, MIL commissioned an integrated pipe manufacturing and coating unit in Anjar (Gujarat); in 2006, it de-merged its aluminium business into a separate company named Man Aluminium Ltd, which was hived off in 2008-09.

Murugappa Group may buy out UB Group In Mangalore Chemicals

Murugappa Group owned Coromandel International may acquire UB Group's 30.4% stake in Mangalore Chemicals and Fertilizers Ltd. UB Group's stake is the fertilizer unit is expected to be worth about Rs150 cr. Mangalore Chemicals, a part of UB group, manufactures and sells chemical fertilizers, such as urea, di-ammonium phosphate (DAP), and other complex fertilizers. Its manufacturing facility is located at Panambur, Mangalore (Karnataka). The company has an installed capacity to manufacture 379,500 tonnes per annum (tpa) of urea, and 255,500 tpa of DAP and other complex fertilizers. Vijay Mallya is exploring various options including a stake sale in it's debt ridden airline to raise funds to tide over problems related to Kingfisher Airlines' debt of over Rs7,000 cr. His UB Group is a conglomerate with annual sales of over $4 bn. Coromandel International is active in the business of fertilizers, specialty nutrients, crop protection and retail. The company has a network of more than 10,000 dealers across India for supplying its agri products. The company markets phosphate fertilizers in Southern India and sells 3 mn MT of DAP and complex fertilizers. The retail arm of Coromandel was started in the year 2007 with 2 outlets and in 2008-09 the Company expanded it to over 425 retail centers in rural Andhra Pradesh.

Rallis India To Buy Majority Stake In Agri Inputs Firm

Rallis India Ltd, a subsidiary of Tata Chemicals, has struck a deal to acquire 51% stake in Zero Waste Agro Organics Pvt Ltd, a Maharashtra-based organic manure and soil conditioners manufacturing company, in a deal aggregating to Rs29 crore ($5.7 million). Zero Waste Ltd is the holding company of Zero Waste's businesses and subsidiaries. The group focuses on organic NPK fertilizer with humified-based manufacturing as its core business. It is also into environmental solutions in sugar milling and alcohol production

Confidential LKP Securities Limited 3 April 30, 2012 [INDIA WEEKLY NEWSLETTER] industries, with a range of services in waste utilization, logistics management and waste treatment. Zero Waste has operations throughout Maharashtra and Karnataka, including around half a dozen manufacturing plants, besides multiple distribution centres and channels, to market its products. In addition to its sales across western India, Zero Waste exports to overseas markets including the Middle East, Europe and North Africa.

Mergers & Acquisitions Deals

Ibibo.com's Parent Co - MIH Group Acquires Tek Travels

MIH Group has acquired 51% stake in Gurgoan based Tek Travels Private Limited, which owns B2B travel portal Travel Boutique Online. With this acquisition, MIH Group will get an access to domestic online business travel space, while Tek Travel will be able to expand in international markets. Founded in 2006 by Ankush Nijhawan and Gaurav Bhatnagar, Travel Boutique Online offers a gamut of travel services such as airline, train and hotel reservation and holiday package deals. It also provides charter and choppers and helps with car rental, bus bookings and travel insurance. MIH is a wholly owned subsidiary of media group Naspers. The group's principal businesses are in internet platforms, pay-television and the provision of related technologies. The groups operations are located mainly in South Africa and the rest of Sub-Saharan Africa, China, Latin America, Central and Eastern Europe, Russia and India. In India, MIH has an active presence in the e-commerce space through internet assets such as ibibo Games (social games), Goibibo.com (travel), Tradus.in (shopping marketplace), Payu.in (payments) and Gaadi.com (auto classifieds).

Rossell India Acquires Tea Estate Of Dhunseri Petrochem

Rossell India Limited has acquired Namsang Tea Estate from Dhunseri Petrochem And Tea Limited for Rs28.29 cr. With this acquisition, the total tea estates owned by Rossell India in Assam stands at 6 with total production capacity of 51 lakh kg of black tea in a year. The Namsang Tea Estate, located in the Dibrugarh district of Assam, produces around 7.30 lakh kilogram of black tea. Dhunseri Group's flagship company Dhunseri Petrochem was formed with the merger of two manufacturing companies of Dhunseri group – Dhunseri Tea and Industries Ltd which was engaged in tea production and IT infrastructure and South Asian Petrochem Ltd which was into manufacturing of PET resin. Rossell India has diverse interests in Tea, Aviation and Hospitality. Rossell Tea Ltd was incorporated in 1994 and currently caters to a large base of overseas buyers. These include Germany, Japan, the US, UAE and Iran.

Publicis Group Acquires Digital Media Agency - Indigo Consulting

Publicis Group has acquired Mumbai based digital media agency - Indigo Consulting. It will now operate as a unit within the Leo Burnett Group in India and will retain its name. Since it was founded in 2000, Indigo Consulting has developed websites, software solutions and digital marketing programs for clients around the world, including Asian Paints, HDFC Bank, Confidential LKP Securities Limited 4 April 30, 2012 [INDIA WEEKLY NEWSLETTER]

HSBC (India, Asia-Pacific and Middle East), Loop Mobile, Tata AIG Insurance and South Australia Tourism. The agency currently employs a team of 160 at its Mumbai headquarters and Delhi office. Euronext Paris-listed communications company Publicis Groupe is the world's third largest communications group, with a presence in 104 countries through three global advertising networks, Leo Burnett, Publicis, Saatchi & Saatchi, and numerous agencies including Fallon, 49% owned Bartle Bogle Hegarty, and Kaplan Thaler Group. The group's VivaKi, which develops new services, tools, and next generation digital platforms, operates alongside Starcom MediaVest Group and ZenithOptimedia worldwide media networks. Publicis Groupe offers healthcare communications with Publicis Healthcare Communications Group and with MS&L Group, a PR and events’ networks, also provides expertise in corporate and financial communications, public affairs, branding, and social media marketing.

Eros International Acquires 76% in B4U Television

Eros International Plc is acquiring 76% stake in B4U Television Network India Private Limited for $53.1 mn. Eros already owns 24% stake in the television network, but has not exercised significant influence over the company. Eros will purchase the 76% it does not currently own. B4U Television is a global television network that provides Indian programming across two digital television channels, B4U Music and B4U Movies. B4U is available in more than 100 countries, including India, the UK, the US, Canada and countries in Middle East and Africa. Eros co-produces, acquires and distributes Indian language films, in multiple formats worldwide. In October 2010, Eros International listed its Indian subsidiary Eros International Media on the BSE & NSE in India. Eros International Media operates on a vertically integrated studio model controlling content as well as distribution & exploitation across multiple formats globally, including cinema, digital, home entertainment and television syndication.

Strides Arcolab Acquires Star Drugs' Hosur Manufacturing Plant

Strides Arcolab has acquired a Sterile Formulations facility from Star Drugs & Research Labs Ltd for Rs125 cr. This acquisition, funded through cash in hand and internal accruals, is a part of Strides' strategy to build and expand it's core injectible business. The acquisition was made through Agila Specialties, a wholly owned subsidiary of Strides. The facility manufactures a wide range of injectible formats. The liquid vials unit with a capacity of 97mn units has been approved by the US FDA. It is located at Hosur, Tamil Nadu and is in close proximity to the Strides new Sterile complex. Star Drugs and Research Labs manufactures small-volume parenterals at its Hosur (Tamil Nadu)-based facility, which have received WHO-good manufacturing practice approvals. Bangalore-based Strides Acrolab is a pharmaceutical company that develops and manufactures a wide range of IP-led niche pharmaceutical products with an emphasis on sterile injectables. Agila Specialties Pvt Ltd is the specialties unit of Strides Acrolab which was spun off as a separate division post the company’s restructuring in 2009. It operates from 7 global manufacturing facilities, including one of the largest steriles capacity in India. In December 2010, it acquired 70% stake in Bangalore-based biotechnology firm, Inbiopro Solutions Pvt Ltd. Confidential LKP Securities Limited 5 April 30, 2012 [INDIA WEEKLY NEWSLETTER]

Rabobank Part-exits Yes Bank; Sells Stake For $86.2 mn

Netherland's Rabobank sold three-fourth of its 4.7% stake in Indian private lender Yes Bank for about Rs453 crore ($86.2 million). A group of Indian financial institutions, including Bajaj Allianz Life Insurance and Citigroup Global Markets, among others, bought the shares. Rabobank has been gradually paring its stake in Yes Bank since June 2010, as the Dutch lender moves closer to setting up its own banking unit in India. Earlier, it had sold around 11% stake to a group of domestic and foreign institutional investors for an estimated $210 million. At that time, the stake sale brought down Rabo’s holding to sub-5% level. Rabobank was one of the initial investors in the eight-year-old Yes Bank, which is one of the fastest- growing new private sector banks in India.

Nagpur Automotive Acquires Neepaz V Forge For Rs230 cr

Nagpur Automotive Industries Private Limited has acquired 100% in Adhunik Metaliks' forging subsidiary - Neepaz V Forge India Limited for an enterprise value of Rs230 cr. The transaction is in line with Adhunik Group’s overall strategy to divest its non-core assets and focus on its core businesses. Adhunik Metaliks had bought a majority stake in V Cube Forge India Ltd in August 2007. The company was later renamed as Neepaz V Forge. Neepaz V Forge Limited has manufacturing facilities Aurangabad to manufacture various automotive products like crank shafts, under brackets, steering knuckles, steering arms, tie rod arms, cam shafts, spindles and several other forgings for major OEMs. It also supplies products to non-automotive companies.

Private Equity News

Intas Pharma To Raise Rs250 cr from PE Funds For Expansion

Intas Pharma is planning to raise Rs250 cr private equity investment for expansion. PE investors – Chrys Capital, Blackstone, Advent Capital among others are in talks to buy minority stake in the company. Last March, Intas Pharma filed DRHP to raise upto Rs425 cr through fresh issue of shares, while Chrys Capital was planning to part-exit in the IPO by selling 58,10,550 shares. The company intends to use the funds raised through fresh issue for product registration (Rs108.5 cr), capital expenditure (Rs218.75 cr) and for other corporate purposes. Intas has planned its IPO for this year and is re-examining its timing due to market volatility. Incorporated in 1985, Ahmedabad - based Intas is engaged in the development, manufacture and marketing of pharmaceutical formulations. The company’s products are marketed in over 50 countries, either directly, through our subsidiaries or indirectly, through arrangements with various leading global pharmaceutical companies for the distribution of products.

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Punjab Kesari Plans To Raise Rs150 cr For Expansion

Punjab Kesari Group is planning to raise Rs150 cr by stake dilution in the company to strengthen its position in the existing market. Coral bay Advisors Pvt. Ltd is working with Punjab Kesari on its fund-raising and expansion plans. Punjab Kesari was started by Lt. Lala Jagat Narainji in 1965. It is a renowned national newspaper of the country, which is published from six regions viz Punjab, Chandigarh, Himachal Pradesh, Uttar Pradesh, Rajasthan and Haryana. Punjab Kesari group publishes newspapers in three regional languages. These are: Punjab Kesari (in Hindi), Jag Bani (in Punjabi) and Hind Samachar (in Urdu). It has seven print centres of publication at Ambala, Palampur, Ludhiana, Panipat, Hisar, Jammu, Mohali - with the headquarters in Jalandhar.

Tano Capital To Invest Up To $20 mn in Barbeque Nation

Tano Capital is in talks to invest Rs100 crore ($20 million) in the restaurant chain operator Barbeque Nation Hospitality Ltd, a subsidiary of the public-listed Sayaji Hotels Ltd, for a minority stake. This follows a proposed investment by Renuka Ramnath – promoted Multiples Alternate Asset Management, which did not fructify last year. Started in 2006, Mumbai-based Barbeque Nation currently operates 21 branches in cities like Bangalore, Delhi, Pune, Chennai, Hyderabad, Kolkata, Vadodara, Ahmedabad and Jaipur. The company works on the concept of a live grill and customers can actually cook their food on the grill embedded in each table. The restaurant offers veg and non-veg barbeque starters (unlimited helpings), a main course buffet, soups, salads, desserts and a great variety of liquors. According to stock exchange filings, last August, Sayaji’s board of directors had proposed to make a preferential allotment of equity shares in its subsidiary Barbeque Nation to an unnamed financial investor. The final decision was postponed and there had been no further announcement from the company yet.

Chernin Group Secures $200 mn in Private Equity

The Chernin Group, the entertainment and digital media company Peter Chernin founded after leaving News Corp in 2009, has secured about $200 mn in new funds from a group of investors led by Providence Equity Partners, one of the sector’s most prominent private equity groups. The venture would focus on media assets in the US and emerging markets, particularly in India, Indonesia and China. TCG already has a majority stake in CA Media, a media investment company based in Asia, which Mr Chernin founded with Paul Aiello, a former chief executive of News Corp’s Star TV group in Asia. Through its Chernin Entertainment arm, TCG has produced Rise of the Planet of the Apes, a box office success, and television shows including Terra Nova, a big-budget prehistoric drama that is reported to have made money for Fox but was not renewed for a second season. TCG has also made investments in US digital media companies including Pandora, the internet radio service; Tumblr, a blogging platform; and Flipboard; a “social magazine” for browsing media content on tablets. It has also funded a digital video start-up called Full screen, which helps content owners build YouTube channels.

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IFC to invest $130 mn in Inox Renewable

IFC is planning to invest $130 mn in INOX Renewables Limited, a subsidiary of Gujarat Fluorochemicals Limited. The funds raised will be used to fund 400 MW of wind projects in the states of Rajasthan and Gujarat. IFC's proposed investment involves equity investment of $40 mn in IRL and senior debt of $90 mn. Incorporated in 2010, INOX Renewable is a part of INOX Group which has interest in diverse businesses including Industrial Gases, Refrigerant Gases, Fluoro Chemicals, PTFE, Renewable Energy, Cryogenic Equipment and Entertainment. Gujarat Fluorochemicals and Inox Leisure are also a part of Inox Group. INOX Renewable houses the wind power generation business of the INOX group. The company is planning to build up to 3000 MW of wind projects by 2017 with the majority being in the states of Rajasthan and Gujarat. The total project cost of 400 MW wind project is estimated at $480 mn which is proposed to be implemented by March 2013. Its existing operational assets are a 4MW wind farm in Tamil Nadu, two wind farms in Rajasthan, including Sadiya -12MW and Ossiya - 30MW, a 23.1MW site in Gude Panchgani, Maharashtra; and a 50 MW site at Mahidad in Gujarat. There is a 100MW wind farm at Dangri, Rajasthan currently under construction.

Walton Street May Invest Rs100 cr in Supertechs' Noida Project

Walton Street Capital is planning to invest Rs100 cr in Supertech Limited’s Noida project for 20% stake in the residential towers of the project. Supertech is developing Supertech Supernova, a township project having mixed-use development spread over the area of 5 mn sq ft. The total cost of the Supernova project is estimated at Rs3,000 cr, while the cost of the residential towers, Nova East and Nova West, will be around Rs500 cr. Incorporated in 1995, Supertech developed various real estate projects in Delhi, NCR, Meerut, Ghaziabad, Moradabad, Haridwar and Rudrapur. It has converted more than 33 mn sq. ft. area of residential and commercial entity into architectural landmarks and more than 36 projects that accommodates nearly 30,000 families.

SIDBI raises Rs670 cr for India Opportunity Fund

SIDBI Venture Capital Fund has received commitment for Rs670 cr funding from financial institutions as part of its fund raising for the India Opportunity Fund, meant for SMEs. SIDBI Venture Capital Fund, which focuses on investing in SMEs, earlier had plans to raise Rs1000 crore for the fund. SIDBI Venture Capital, a wholly owned subsidiary of Small Industries Development Bank of India (SIDBI) operating from Mumbai. It currently managing 2 funds aggregating Rs6 bn and has established itself as the leading domestic Venture Capital investor for early stage and growth stage investing. Its first fund – National Venture Fund For Software & IT Industry had a corpus of Rs100 cr. The major investors in this fund includes SIDBI (Rs50 cr); Ministry of Information Technology, Government of India (Rs30 cr) and IDBI (Rs20 cr). Its second fund – SME Growth Fund has a corpus of Rs500 cr. It is currently in divestment stage.

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Warburg Pincus-backed Alliance Tire May Get $65 mn IFC Financing

International Finance Corporation (IFC) is looking to provide debt funding of up to $65 mn to Mumbai-based Alliance Tire Group, which manufactures off-highway tyres. The money will be used for its $160 million capex plans, including setting up a greenfield plant in Gujarat and expanding the existing plant in Tamil Nadu. Alliance Tire Group was formed after Yogesh Mahansaria (former CEO of Balkrishna Tyres) and his father Ashok Mahansaria tied up with private equity major Warburg Pincus to acquire Israel’s Alliance Tire Company Ltd for $150 million in 2007. The private equity firm currently owns a majority stake in the firm, with the rest being held by the Mahansaria family. Warburg Pincus had pumped in additional capital in Alliance Tire in 2009 when it acquired the assets of the US-based GPX International Tire Corporation for a reported $38.3 million, which gave it the Galaxy and the Primex brands (besides the existing Alliance brand). Post-acquisition, the company set up a manufacturing facility in an SEZ near Tirunevelli in Tamil Nadu. The plant has a capacity of 48,000 tonnes per annum, which is being expanded to 61,000 TPA. With the current capex, this facility will be further expanded by 29,000 TPA. Alliance Tire Group is also building a greenfield plant with a capacity of 50,000 TPA at Jhagadia in Gujarat, near the Hazira Port. The company also owns a 35,000 TPA plant in Israel besides dedicated contract manufacturing facilities in China and Taiwan. Alliance Tire caters to various industry segments like agriculture, forestry, construction and earth-moving equipment.

Private Equity Deals

VRL Logistics Raises PE Funding From New Silk Route

Private equity firm New Silk Route has acquired an undisclosed stake in VRL Logistics Ltd, a company based in Hubli, Karnataka. VRL had filed its DRHP (draft red herring prospectus) with the market regulator SEBI in December 2010. The company had plans to sell 23.5 million shares or 25% stake in the issue. VRL was started in 1976 by Vijay Sankeshwar and now claims to be the largest fleet-owner in India with 3,481 Vehicles, including 420 tourist buses and 3,061 goods transport vehicles as of January 31, 2012. It has also expanded its business to include courier service, express cargo and air chartering. VRL operates wind mills as well and currently has an installed capacity of 51 MW. It has further plans to set up a cement plant with a capacity of 2 million tonne per annum.

Xander’s PE Arm Invests $40 mn in Chennai’s Appaswamy Realty Project

The private equity arm of the global investment firm Xander Inc has invested $40 million in a pre-leased IT Park of the Chennai-based developer Appaswamy Real Estates Ltd (AREL). Xander is looking at an internal rate of return of 11.5-12% from this investment. AREL has already completed the development of 6.3 million sq. ft. of residential, commercial and IT projects in Tamil Nadu. The company is promoted by the Appaswamy family, which has interests in property development, hospitality and renewable energy generation. It has nine

Confidential LKP Securities Limited 9 April 30, 2012 [INDIA WEEKLY NEWSLETTER] ongoing realty projects across the state and has two IT park projects in its kitty – Futura and E-gate. Xander primarily invests in companies operating in infrastructure, hospitality, entertainment, retail and real estate sectors. Its last transaction in real estate came from its credit division called Xander Finance, which put in Rs70 crore in Mumbai-based Ajmera Realty’s project Times Square.

HSBC, Credit Suisse Invests Rs30 cr in TBZ

HSBC and Credit Suisse has invested around Rs30 cr in Mumbai-based Tribhovandas Bhimji Zaveri Limited through anchor investment. Three investors - HSBC Global Investment Funds, HSBC India Alpha (Mauritius) and Credit Suisse subscribed to 24,99,999 equity shares at lower end of price band of Rs120-126 a share. The IPO proceeds will be used for setting up new showrooms and for working capital needs. Established in 1864, Tribhovandas Bhimji Zaveri is a manufacturer and seller of gold and diamond studded jewellery. It has 14 showrooms in nine cities across five states in India and is planning to open additional 44 showrooms (26 large format high street showrooms and 18 small format high street showrooms) by the end of fiscal 2014. It has its manufacturing unit located in Kandivali, Mumbai and has a total of 904 employees as on September 30, 2010. It has 12 showrooms under the trade name of ‘Tribhovandas Bhimji Zaveri’ and has two designer boutiques under the trade name ‘Krsâla’, which predominately sell jadau and diamond studded jewellery.

New Silk Route Buys Into Fast Food Chain Adiga’s

Private equity firm New Silk Route has completed its fourth control transaction by picking up a significant stake in Bangalore-based Vasudev Adiga’s Fast Food Ltd, which runs a chain of South Indian restaurants. The deal came following the private equity firm’s plans to create a platform in the food & beverages (F&B) sector. New Silk Route is looking to invest $100 million or Rs500 crore in a portfolio of F&B formats. Vasudev Adiga’s currently has 11 restaurants in Bangalore and one on the Bangalore-Mysore highway. Adiga’s is an offshoot of the famous Brahmin’s Coffee Bar at Basavangudi (Bangalore), which was started in 1965 by late KV Nageshwar Adiga. The company is now run by second-generation entrepreneur KN Vasudev Adiga who is also an engineering graduate. Besides restaurants, Adiga’s also has presence in event catering business. Its corporate clients include marquee names like SAP, NDS, Ingersoll Rand and Honeywell.

New York Life Part-Exits Commercial Engineers

New York Life Investment Management India Fund has sold 2.01% stake in Commercial Engineers & Body Builders Co Limited. It has sold 1,101,949 shares in open market transaction. NYLIM invested Rs30 cr in the company in 2007. The company issued 3,000 mandatorily convertible preference shares of face value of Rs100 each at a premium of Rs99,900 per share. It part exited during the company IPO in 2010. As on Dec 2011, it held 11.94% stake in the company. Commercial Engineers, incorporated in 1979, is the flagship company of the JN group. It is engaged in the business of manufacturing vehicle bodies for

Confidential LKP Securities Limited 10 April 30, 2012 [INDIA WEEKLY NEWSLETTER] commercial vehicles, refurbishment of wagons and manufacture of components for wagons, coaches and locomotives.

The Chernin Group Invests In Endemol India & Only Much Louder

Providence Equity Partners backed The Chernin Group has bought minority stakes in content production firm - Endemol India and artist management firm - Only Much Louder. The Chernin Group has acquired 49% stake in Endemol India through it's Asian investment arm and has made a significant investment in Only Much Louder along with Zodius, an investor and operator of digital media, commerce and services companies. Post deal, Deepak Dhar who has been MD of Endemol India since 2007 will continue to lead the company and is promoted to CEO. Endemol India is active in the business of television production and distribution since 2006. Endemol India has produced a number of television shows including Bigg Boss, Fear Factor, Laughter Challenge, Jo Jeeta Wohi Super Star and Deal Ya No Deal among others. The firm will now focus on establishing a presence in the Indian film business and plans to expand its scripted and regional television interests. It will also continue to produce and exploit Endemol’s portfolio of formats and IP, while new formats created by the company will be distributed by Endemol's international sales arm. Only Much Louder started as an artist management firm in 2002 and has now expanded its operations to include a large-format music festivals division, a full-fledged production house, a digital wing and an expansive artist management and bookings enterprise. OML works with various brands in the country in conceptualizing and executing their marketing and branding strategies aimed at the youth segment. It focuses on reaching the youth market in India through high quality entertainment properties including music festivals, television and web-based content. Only Much Louder plans to use the funds to scale up it's operations.

Forum Synergies puts $3 mn in Captronic Systems

Forum Synergies (India) PE Fund Managers, a private equity firm set up by former CEOs, has made its debut deal by investing Rs15 crore or around $3 million in Captronic Systems Pvt Ltd. The Bangalore-based niche technology firm specializes in the design and development of custom automated test, control and acquisition systems for R&D, design validation and production testing. Captronic’s products were also used for testing certain aspects of Chandrayaan-1, India's first unmanned lunar probe. The investment has been made through India Knowledge-Manufacturing Company and Axon Capital's India Opportunities Fund, both of which are advised by Forum Synergies. The Bangalore-based private equity firm has a parallel investment relationship with Axon Capital, a Madrid-based private equity firm. Forum Synergies had a first close of its maiden fund last year. The firm is targeting $150 million for a sector agnostic private equity fund. The company expects to close this year with revenues of Rs35-40 crore and is targeting to reach Rs100 crore in the next three years. Captronic started by working with aerospace industry in its early days and then moved into automotive sector, as vehicles have started coming out with electronic equipment/features and the industry has showed growth in India. Now the firm will also start looking at sectors like industrial and manufacturing, besides moving deeper in its existing focus industries. Captronic currently has offices in six locations in India, Middle East and Confidential LKP Securities Limited 11 April 30, 2012 [INDIA WEEKLY NEWSLETTER]

USA. The company also plans to target customers in Europe going forward. It currently employs around 60 engineers, which it expects to take to over 100 in the coming years.

Venture Capital News

No news in the current week

Venture Capital Deals

Nexus Venture Partner Invests Rs20 cr in Talent Sprint

Hyderabad-based Talent Sprint has raised Rs20 cr in Series A equity funding from Nexus Venture Partners. As part of this Series A investment Anup Gupta – MD of Nexus Venture Partner will join the company’s board of directors. Founded by Madhumurty Ronanki, Santanu Paul, and J.A. Chowdary, Talent Sprint, an NSDC partner company, offers employability programs to young professionals using experiential learning and iPEARL, its proprietary technology platform. iPEARL is Interactive Platform for Remote Employability and Learning, a remote classroom initiative. It is a platform built using frugal engineering that allows master trainers at urban locations to conduct life-size, fully-interactive experiential classes with remotely-located trainees in other urban or rural locations. It also allows assignments and assessments to be managed through a web-based learning management system, leading up to certifications and placements. The company has successfully graduated 3,000 professionals that have been recruited by 60+ leading companies in the IT and BFSI sector. Talent Sprint aim to skill 500,000 graduates by 2020. It plans to integrate 100 colleges in Andhra Pradesh, Tamil Nadu and Karnataka into the Talent Sprint College Network.

Mumbai Angels Invests In United Mobile Apps

Bangalore based United Mobile Apps has raised $1 mn Series A funding from Mumbai Angels. The funds raised will be used for engineering expansion, sales and marketing. Founded by Arun Samudrala and Sriram V Iyer, United Mobile Apps is a mobile technology company that focusses on Connection Management (UConnect)/ Device Management (UManage) and Data Synchronization (USync) software. The company has a team of 15 employees and plans to double the team size by Q4 2012. It also plans to bring 1-2 semiconductor partners and 6 ODM partners onboard, and bundle UConnect with some of the key device manufacturers and also with Laptops, Ultrabooks and Tablets.

Accel Partners, IDG Ventures invests $5 mn in Forus Health

Accel Partners and IDG Ventures have invested $5 mn in medical technology and solutions company - Forus Health Pvt Ltd. Funds will be used to drive manufacturing and sales of it's

Confidential LKP Securities Limited 12 April 30, 2012 [INDIA WEEKLY NEWSLETTER] flagship product – 3nethra, and to accelerate research on 3nethra and other devices. Bangalore based – Forus Health’s flagship product 3nethra, a portable, low cost, non- mydriatic, non-invasive pre-screening ophthalmology solution, can detect Cataract, Glaucoma, Diabetic Retina, Refraction and Cornea problems – diseases that contribute to 90% of avoidable blindness in India. Beyond 3nethra, Forus plans to develop other medical technologies that address healthcare delivery problems.

Freshdesk Raises $5 m in Second Round Of Funding Led By Tiger Global

Barely six months after raising $1 million in series A from venture capital firm Accel Partners, SaaS-based social customer support startup Freshdesk has raised $5 million in another round of funding led by Tiger Global Management. Previous investor, Accel Partners, is also participating in the round. The company will be using the funds raised in this round to ramp up engineering and build more product features. Freshdesk also plans to expand its global support team to meet the growing demand. Freshdesk is a social customer service software that allows companies to support customers through both traditional support channels like email and phone, as well as social networks such as Facebook and Twitter. Incorporated in October 2010, Freshdesk is founded by Girish Mathrubootham, former vice-president (product management) at Zoho Corp. The company offers customer support software for small and medium enterprises looking for a Cloud-based interface. Freshdesk has trebled its customer base in the last quarter (to 700 customers), a period in which it also launched what it calls ‘version 2.0’ of its helpdesk platform to make customer support more engaging, powerful and as simple as sending an email. Freshdesk had also announced a freemium model along with the refreshed offering early this year where the first agent is always free. For small businesses with single agent helpdesks, Freshdesk is now essentially a free support software.

Chennai Angels, Vardhaman Jain Invests In Metroplots

Chennai based Metroplots Private Limited, an online real estate start-up has raised second round of angel funding from Chennai Angels and Vardhaman Jain. The funds raised will be used to set up branches in Bangalore, Delhi-NCR, Mumbai and to increase its team size. Vardhaman Jain, the angel investor is the managing director at Perot Systems. In 2010, Metroplots raised first round of funding from Chennai Angels. As part of the investment, Sudhakar Ram joined the board of the company and continues to represent the investors. Founded in 2009 by Biju Ashokan, Metroplots operates Metroplots.com, an online real estate advisory portal for anyone who is looking to purchase any residential and commercial property. The company serves builders, agents, and landlords. The company provides property analysis, site visits, home loans, and property booking services; and property maintenance, legal, financial, and consultancy services, as well as assists customers with after-sales support.

Confidential LKP Securities Limited 13 April 30, 2012 [INDIA WEEKLY NEWSLETTER]

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