RNM ALERT ISSUE NO.75 Thinking of the Bottom Line – Think of Us APRIL, 2015

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Dear Readers,

The summers are upon us and soon most of you would be ready to pack your bags for cooler climes. India is reeling under a severe heat wave.

The economy is in the meantime fairing better with the Q4 (January- March 2015) numbers for GDP at 7.50% and the financial year 2014-15 annual GDP at 7.30% which is higher than the previous year number of 6.90% pointing to a soft recovery. Team RNM is overall pleased with the performance of the new Modi Government during this past one year. Achieving the target for roll out of the Goods and Services Tax (GST) by April 1, 2016 will be the toughest test of the Government. The forthcoming RBI policy review on June 2, 2015 where it is expected that an interest rate cut would be announced would act as a further stimulus to propel the economy forward, if announced.

On the Indirect Tax front, the notification for the increase in Service Tax rate from 12.36% to 14% with effect from June 1, 2015 was released, in line with the Budget 2015 proposals which became law thru the Finance Act, 2015 on May 14, 2015.

Recently, a leading case decided in the Hon’ble High Court of Punjab & Haryana in CHD Developers Limited, Karnal Versus The State of Haryana and others dealt with a few substantial questions on levy of Value Added Tax (VAT) on Land Value and also on whether developers are work contractors.

With the recent decision of the constitutional bench of the Supreme Court of India, the National Company Law Tribunal and the National Company Law Appellate Tribunal should soon become operational. Team RNM feels that this would enhance the “ease of doing business” in India.

I hope the readers enjoyed reading the Research Report on Restaurant Services market in India which was published by Team RNM recently and the earlier RNM Special Corporate Alert which dealt with the amendments in the Companies Act, 2013.

Regards, CA U.N. Marwah For and behalf of the RNM Alert Editorial Board

All Rights of Circulation restricted

Issue No. 75: April, 2015 Page 2 of 17

CONTENTS

Direct Tax

- Case Laws - Income exempt from Tax 4 - Expenses in relation to exempt income 4 - Profits or Gains of Business or Profession 4 - Capital Gains Exemption 4 - Cash Credits 5 - Unexplained Expenditure 5 - Deductions 5 - Transfer Pricing 5 - Assessment Proceedings 5 - Tax Deducted at Source 6 - Penalties 6 - Appeal

- Notification - Transport Allowance Exemption Limit Enhanced 6

Indirect Tax

Service Tax - Case Laws - Condonation of delay couldn't be denied merely because assessee was not pursuing matter seriously 7 - Delay in filing appeal due to misplacement of records on shifting of branch office was condonable 7 - Effluent couldn't be regarded as goods; its transportation through pipeline 7 - Marketing and support services provided to foreign cos in relation to their Indian sales is ‘export of service’ 7 - Mentioning wrong notification number wouldn’t lead to rejection of refund claim without hearing assesse 7 - Rent-a-cab and travel agent’s services used for transportation of employees/customer are eligible for input credit 7-8 - Revenue must grant opportunity to rectify defects in supporting docs before disallowing Cenvat credit 8 - Separately registered units engaged in integrated manufacturing deemed as ‘single factory’ for Cenvat credit 8 - Short delay in filing appeal by revenue due to administrative reasons can be condoned 8 - Writ can’t be filed against order dismissing appeal due to expiry of limitation period 8

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Company Law Updates - Circular - Remuneration to managerial person under Schedule XIII of the Companies Act, 1956 – Clarification with regard to payment for period 9 - Clarifications under sub-section (7) of section 186 of the Companies Act, 2013 9

RBI Updates - Circular

- Foreign Direct Investment (FDI) – Reporting under FDI Scheme on the e-Biz platform 9-10 - Foreign Direct Investment (FDI) in India – Review of FDI policy –Sector Specific conditions- Insurance sector 10

Corporate Finance - Latest News - Private Equity 11-12 - Mergers & Acquisition 12-13 - Venture Capital 14-17

DIRECT TAX DIRECT TAX

Issue No. 75: April, 2015 Page 4 of 17

DIRECT TAX  Case Laws Income Exempt from Tax Sec 10(10C) - An employee opting for voluntary retirement, amount received shall be entitled to exemption under Section 10(10C) of the Act, up to the limit of 5 lacs and for the amount beyond 5 lacs shall be entitled to the relief under Section 89 of the Act. [CIT V. Natvarlal K Sharma 2015 (5) TMI 9 - GUJARAT HIGH COURT]

Sec 10 & 11- In computing the income of charitable institutions exempt u/s 11, income exempt u/s 10 has to be excluded. The requirement in sec 11 with regard to application of income for charitable purposes does not apply to income exempt u/s 10. [DIT (E) vs. M/s. Jasubhai Foundation (Bombay High Court)INCOME TAX APPEAL NO. 1310 OF 2013]

Expenses in relation to exempt income Sec 14A & Rule 8D- In computing the “average value of investment”, only the investments yielding non-taxable income have to be considered and not all investments. [ACB India Ltd vs. ACIT (Delhi High Court)ITA 615/2014]

Profits or Gains of Business or Profession Sec 28(va) - Consideration for Non- compete and non solicitation is now taxable under section 28(va). [ArunToshniwal& Others v. DCIT 2015 (4) TMI 516 - BOMBAY HIGH COURT]

Sec 28 - Where in terms of memorandum of association, main object of assessee-company was to acquire properties and earn income by letting out same, said income was to be brought to tax as business income and not as income from house property. [Chennai Properties & Investments Ltd. v. CIT, [2015] 56 taxmann.com 456 (SC)]

Capital Gains Exemption Sec 54F - Gift of house to spouse cannot be disregarded for the purpose of assessee's eligibility for deduction u/s 54F [Smt. Maya A. Ajwani v. ITO-7(2)(4), Mumbai [2015] 56 taxmann.com 255 (Mumbai - Trib.)]

Sec 54/54F - If due to ignorance a wrong section has been mentioned by the assessee, it is the duty of the Assessing Officer to advise the assessee about the correct claim and also to assess the tax legitimately. [Shri Paramjeet Singh Chhabra V. ITO 1(2), 2015 (4) TMI 939 - ITAT INDORE]

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Cash Credits Sec 68- Only credits received during the year can be assessed as unexplained cash credits. Credits of earlier years, even if unexplained, cannot be assessed. [Rita Stephen Pinto vs. ITO (ITAT Mumbai)ITA No. 1219/Mum/2013]

Sec 68 - Even if the issued share capital is bogus, no addition can be made in assessee's hands if identity of shareholder is established. Assessee is not required to show source of shareholder's funds. [ITO vs. NeelkanthFinbuild Ltd (ITAT Delhi)ITA No. 2821/Del/2009]

Unexplained ExpenditureSec Sec 69C - Fact that suppliers names appear in the list of hawala dealers of the sales-tax dept and that assessee is unable to produce them does not mean that the purchases are bogus if the payment is through banking channels & GP ratio becomes abnormally high.

[ACIT vs. RamilaPravin Shah (ITAT Mumbai) /I.T.A. No.5246/Mum/2013]

Deductions Sec 80HHC- It is a pre-requisite that there must be profits from the export business. If the exports business has suffered a loss, deduction cannot be allowed from domestic business. [Jeyar Consultant & Investment Pvt. Ltd vs. CIT (Supreme Court)CIVIL APPEAL NO. 8912 OF 2003]

Transfer Pricing Sec 92CA - The mere fact that an entity makes high/extremely high profits/losses does not, ipso facto, lead to its exclusion from the list of comparables for the purposes of determination of ALP. In such circumstances, an enquiry under Rule 10B(3) ought to be carried out, to determine as to whether the material differences between the assessee and the said entity can be eliminated. Unless such differences cannot be eliminated, the entity should be included as a comparable. [Chryscapital Investment Advisors (India) (P.)Ltd. v. DCIT [2015] 56 taxmann.com 417 (Delhi)]

Assessment Proceedings Sec 142A -Solely on the basis of the DVO's report only, No addition can be made with respect to difference between the cost of construction determined by the DVO and shown by the assessee. [PCIT V. J. UPENDRA CONSTRUCTION PVT. LTD 2015 (4) TMI 832 - GUJARAT HIGH COURT]

Sec 143(3)/147- If the Revenue has not made any enquires to find out whether the AIR information was correct or not, then the additions is made solely on the basis of AIR information are not sustainable in the eyes of law. And if the assessee denies that it is in receipt of income from a particular source, then it is for the AO to prove that the assessee has received income as the assessee cannot prove the negative. [Kroner Investments Limited v. DCIT (ITAT Mumbai)ITA No.5125/M/2013]

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Sec 153C/143(3) - Notice served to amalgamating company and order passed in the name of amalgamating company after amalgamation is not valid. [M/s. Mevron Projects Pvt. Ltd. (Amalgamated with Windchimes Constructions Pvt. Ltd.) V. ACIT, New Delhi 2015 (4) TMI 917 - ITAT DELHI]

Tax Deducted at Source Sec 195 -Once tax was deducted at the first stage when the amount of income was credited to the account of payee, which was done by converting foreign currency into TT buying rate on that particular date, then the assessee could not be called upon to deduct tax at source on the additional liability arising due to foreign exchange fluctuation. [Honda Motorcycle & Scooters India (P.)Ltd. vs. ACIT [2015] 56 taxmann.com 238 (Delhi - Trib.)]

Penalties Sec 271(1)(c) - Surrender of income after questionnaire does not mean it is not voluntary. If surrender is on condition of no penalty and assessment is based only on surrender and not on evidence, penalty cannot be levied. [Heranba Industries Ltd vs. DCIT (ITAT Mumbai)ITA No.2292/Mum/2013]

Sec 275- For penalty proceedings initiated on issues unrelated to assessment of income (such as for s. 269SS/ 269T & TDS defaults), time limit runs from date of initiation of penalty proceedings and not from date of CIT(A)'s order. [ITO vs. JKD Capital &Finlease Ltd (ITAT Delhi)I.T.A. No.: 5443/Del/2013]

Appeal Sec 253(1)(a)- An appeal can be filed before the Tribunal against an order of the CIT(A) rejecting the stay application. [Employees’ Provident Fund Organization vs. ACIT (ITAT Delhi)I.T.A Nos. 1766 to 1768/Del/2015]

 Notification Transport Allowance Exemption Limit Enhanced The Central Board of Direct Taxes (CBDT) has enhanced the transport allowance exemption from INR 800 to 1,600 per month and for employee who is blind or orthopedically handicapped with disability of lower extremities, the exemption limit has been enhanced from INR 1,600 to 3,200 per month. [Source: CBDT Notif 39/2015/F.No.142/02/2015-TPL dated April 13, 2015]

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INDIRECT TAX Service Tax  Case Law Condonation of delay couldn't be denied merely because assessee was not pursuing matter seriously Where assessee neither replied to notice, nor participated in adjudication and also filed appeal before Commissioner (Appeals) after delay of 15 days, Tribunal cannot reject condonation of delay application before itself on ground that assessee was taking issue very lightly; said application must be considered on its own merits [Sanjayraj Hotels and Resorts (P.) Ltd. v. Union of India [2015] 56 taxmann.com 446 (Gujarat)] Delay in filing appeal due to misplacement of records on shifting of branch office was condonable Delay caused in filing appeal due to 'shifting of branch office and in process, misplacement of records' (which is supported by affidavit of Branch Manager) is condonable [Riya Travels And Tours India (P.) Ltd. v. Customs, Excise & Service Tax Appellate Tribunal, Chennai [2014] 52 taxmann.com 298 (Madras)] Effluent couldn't be regarded as goods; its transportation through pipeline not liable to service tax Movable property in general trade parlance is considered as a property in goods which can fetch certain price; hence, effluent waste, which is not being purchased by any person, cannot be regarded as 'goods' and transport thereof through pipeline cannot be charged to service tax [Gujarat State Fertilizers And Chemicals Ltd. v. Commissioner of Central Excise, Vadodara [2015] 56 taxmann.com 448 (Ahmedabad - CESTAT)] Marketing and support services provided to foreign co’s in relation to their Indian sales is ‘export of service’ Place of Provision of marketing and support services provided to foreign companies in relation to their Indian sales is governed by rule 3 of POP Rules i.e., location of service recipient (outside India) and said provision amounts to 'export of service', if consideration in received in foreign exchange [Commissioner of Service Tax v. Tandus Flooring India (P.)Ltd. [2015] 57 taxmann.com 48 (Karnataka)] Mentioning wrong notification number wouldn’t lead to rejection of refund claim without hearing assessee Refund claim cannot be rejected merely because assessee has, by mistake, cited wrong notification number; department must issue notice and grant hearing to assessee to rectify said mistake [Monarch Catalyst (P.)Ltd. v. Commissioner of Central Excise, Thane-I [2015] 56 taxmann.com 421 (Mumbai - CESTAT)] Rent-a-cab and travel agent’s services used for transportation of employees/customers are eligible for input credit

Issue No. 75: April, 2015 Page 8 of 17

Rent-a-cab services used for providing transportation facility to customers; Rent paid on office premises and Air travel service for travel of partners and employees of company are eligible for input service credit [Nash Industries v. Commissioner of Customs & Service Tax, Bangalore [2015] 56 taxmann.com 426 (Bangalore - CESTAT)] Revenue must grant opportunity to rectify defects in supporting docs before disallowing Cenvat credit Credit of banking services and advertising services cannot be denied merely because of non-mention of registration number or mention of old registration number, if all other requirements are satisfied and other documents evidencing eligibility are furnished by assessee Cenvat Credit : Where, before disallowing credit, no opportunity was given to assessee to remove minor clerical error in Cenvatable documents, said disallowance was in violation of principles of natural justice [Soham Motors (P.) Ltd. v. Commissioner of Central Excise, Aurangabad [2015] 56 taxmann.com 447 (Mumbai - CESTAT)] Separately registered units engaged in integrated manufacturing deemed as ‘single factory’ for Cenvat credit Where three separately registered units are using a common input in continuous, interconnected and integrated process for common share, they constitute a single factory and CENVAT cannot be denied on ground that credit is being availed by one factory and material inputs are used by three factories [Commissioner of Central Excise & Service Tax, Belgaum v. Mukund Ltd. [2015] 56 taxmann.com 381 (Karnataka)] Short delay in filing appeal by revenue due to administrative reasons can be condoned 'Inordinate delay' and a 'delay of short duration' are different and only inordinate delay attracts 'Doctrine of Prejudice' and 'Strict Approach'; hence, delay of 29 days in filing appeal by revenue before Tribunal must be condoned liberally even if delay was administrative in nature [Commissioner of Central Excise, Central Excise Commissionerate, Tiruchirappalli v. Customs, Excise & Service Tax Appellate Tribunal [2015] 56 taxmann.com 325 (Madras)] Writ can’t be filed against order dismissing appeal due to expiry of limitation period Time-limit for pursuing appeal before Commissioner (Appeals) is rigid and cannot be extended by Courts; hence, if appeal before Commissioner (Appeals) is dismissed as barred by limitation being beyond his permissible period of condonation, even writ petition cannot be maintained against adjudication order [Star Enterprises v. Joint Commissioner, Commissioner of Central Excise, Customs and Service Tax, Guntur [2015] 56 taxmann.com 383 (Andhra Pradesh)]

Issue No. 75: April, 2015 Page 9 of 17

COMPANY LAW UPDATES  Circular/Notification/Guidance Remuneration to managerial person under Schedule XIII of the Companies Act, 1956 - Clarification with regard to payment for period Stakeholders have drawn attention to the Provisions of Schedule XIII (Sixth proviso to Para (C) of Section II of Part II) of the Companies Act, 1956 (Earlier Act) and as clarified vide Circular number 14l11/2O12-CL-VII dated 16th August, 2012, which allowed listed companies and their subsidiaries to pay remuneration, without approval of Central Government, in excess of limits specified in Para II Para (C) of such Schedule if the managerial person met the conditions specified therein. Stakeholders have expressed that since similar provisions are not available in the Schedule V of the Companies Act, 2013, there is a need for a clarification that a managerial person appointed in accordance with such provision of Schedule XIII of Earlier Act may receive relevant remuneration for the period as approved by the company in accordance with such provisions of Earlier Act.The matter has been examined in the light of earlier clarifications on transitional matters issued by the Ministry. It is clarified that a managerial person referred to in para1 above may continue to receive remuneration for his remaining term in accordance with terms and conditions approved by company as per relevant provisions of Schedule XIII of earlier Act even if the part of his/her tenure falls after 1st April, 2014. [Source: General Circular No. 07/2015 dated 10th April, 2015]

Clarifications under sub-section (7) of section 186 of the Companies Act, 2013 It is hereby clarified that in cases where the effective yield (effective rate of return) on tax free bonds is greater than the prevailing yield of one year, three year, five year or ten year Government Security closest to the tenor of the loan, there is no violation of sub-section (7) of section 186 of the Companies Act, 2013. [Source: General Circular No. 06/2015 dated 09th April, 2015]

RBI UPDATES  Circular/Notification/Guidance Foreign Direct Investment (FDI) – Reporting under FDI Scheme on the e-Biz platform With reference to paragraph 5 of A.P. (DIR Series) Circular No.77 dated February 12, 2015 it is advised that financial aspects for using the Virtual Private Network (VPN) accounts obtained from National Informatics Centre (NIC) for accessing the e-Biz portal have now been finalized in consultation with Government of India, Department of Industrial Policy and Promotion (DIPP) and NIC. The details are as follows:

1) The VPN account will be in the name of the individual users and will be coterminous with the lifetime of the Digital Signing (Class 2) certificates (which is for a maximum period of two years) issued by Institute for Development and Research in Banking Technology (IDRBT), Hyderabad; 2) AD Category-I banks will be required to credit (through NEFT/RTGS) the payment in advance for the VPN accounts (@ Rs.9,654/- per account for a block of two years) directly to National Informatics Centre Services Inc’s (NICSI) bank account as under:

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a) Name of Bank : ICICI Bank b) Branch : ICICI Bank CMS c) Account No : NICSIPPCDL141571 d) IFSC Code : ICIC0000104 3) After making the payment, the AD bank may fill up the details in the 'Payment Reference Form' and forward the same to the email. A copy of the form is annexed to this circular. 4) AD banks may kindly note to maintain appropriate records pertaining to the number of connections, amounts remitted to NICSI, etc. Reconciliation issues, if any, may be resolved by writing to NICSI at the above mentioned email address [Source: RBI/2014-15/561 A.P. (DIR Series) Circular No.95 dated April, 17, 2015]

Foreign Direct Investment (FDI) in India – Review of FDI policy –Sector Specific conditions- Insurance sector The extant FDI policy for Insurance sector has been reviewed and further liberalized. Accordingly, with immediate effect, FDI in Insurance sector shall be permitted up to 49% subject to the revised conditions specified in the Press Note 3 (2015 Series) dated March 2, 2015. Also, a new activity viz. “Other Insurance Intermediaries appointed under the provisions of Insurance Regulatory and Development Authority Act, 1999 (41 of 1999)” has been included within the definition of ‘Insurance’.

Besides, the salient changes over the existing regime include: a) Foreign investment in Indian insurance company shall be limited up to forty-nine percent of the paid up equity capital; b) Foreign direct investment up to 26 percent shall be under automatic route and beyond 26 percent and up to 49 percent shall be with Government approval; c) Foreign investment in the sector is subject to compliance of the provisions of the Insurance Act, 1938 and the condition that companies bringing in FDI shall obtain necessary license from the Insurance Regulatory & Development Authority of India for undertaking insurance activities. d) An Indian insurance company shall ensure that its ownership and control remains at all times in the hands of resident Indian entities; e) Foreign portfolio investment in an Indian insurance company shall be governed by the provisions of Foreign Exchange Management (Transfer or issue of security by a person resident outside India) Regulations, 2000 and provisions of the Securities Exchange Board of India (Foreign Portfolio Investors) Regulations. f) Any increase of foreign investment of an Indian insurance company shall be in accordance with the pricing guidelines specified by Reserve Bank of India under the Foreign Exchange Management Act, 1999. g) Terms 'Control', 'Equity Share Capital', 'Foreign Direct Investment' (FDI), 'Foreign Investors', 'Foreign Portfolio Investment', 'Indian Insurance Company', 'Indian Company', 'Indian Control of an Indian Insurance Company', 'Indian Ownership', 'Non-resident Entity', 'Public Financial Institution', 'Resident Indian Citizen', 'Total Foreign Investment' will have the same meaning as provided in Notification No. G.S.R 115 (E), dated 19th February, 2015. [Source: RBI/2014-15/545 A.P. (DIR Series) Circular No.94 dated April, 08, 2015]

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CORPORATE FINANCE  Latest News

Private Equity Piramal invests $35M in Ahmedabad-based Ganesh Housing Piramal Fund Management, the real estate investment platform of Piramal Enterprises, has forayed intothe Tier II market by investing in Ahmedabad-based public listed developer Ganesh Housing. [Source: VCCircle, Apr 28, 2015]

Puravankara raises PE funding from ASK Group for Chennai project Public listed real estate developer Puravankara Ltd has entered into its first private equity partnership raising around `82 crore (US$13 million) from ASK Group for its arm Provident Housing Ltd. Financial services group ASK invests in real estate through ASK Property Investment Advisors. [Source: VCCircle, Apr 28, 2015]

Advent invests more in CARE Hospitals to back Hyderabad property purchase Hyderabad-based Quality Care India Ltd, which runs a multi-specialty hospital chain under CARE Hospitals brands, has raised an undisclosed amount in fresh funding from private equity firm Advent International to part-finance acquisition of a hospital in Hyderabad. [Source: VCCircle, Apr 28, 2015]

Ad-for-equity investor BCCL commits $5M again in retailer V2 Four years after exiting Vishal Retail at a loss, media company Bennett, Coleman & Co Ltd (BCCL), that strikes ad-for-equity style investments in consumer facing companies in India, has committed Rs 32.5 crore ($5 million) in Delhi-based retail chain operator V2 Retail Ltd (formerly known as Vishal Retail). [Source: VCCircle, Apr 20, 2015]

Mytrah Energy raises $60M from Merrill Lynch, Aion Direct Mytrah Energy, a renewable energy-focused independent power producer, has raised a capital worth USD 60 million through non-convertible debenture from Merrill Lynch International and Aion Direct Singapore. [Source: VCCircle, Apr 16, 2015]

SeQuent Scientific raises $8.4M from value investor Mankekars Academician and value investor Shivanand Mankekar and his son Kedar have invested `52.25 crore ($8.4 million) in fine chemicals and drug ingredients maker SeQuent Scientific Ltd through a preferential allotment. [Source: VCCircle, Apr 15, 2015]

Online cabs aggregator Ola raises $310M led by DST Global; valued at $2.3B

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ANI Technologies Pvt Ltd. operating online cab booking service Ola raised $310 million (`1,952 crore) in its fresh round of funding led by Russian investment firm DST Global. [Source: VCCircle, Apr 09, 2015] Century Real Estate drops IPO plans, raises around $26.5M via NCDs to develop projects Century Real Estate has raised Rs 165 crore (around $26.5 million) through non-convertible debentures (NCDs) for the development of a couple of projects in Bangalore. [Source: VCCircle, Apr 06, 2015]

Jain Irrigation's agri-focused NBFC raises $18M from Mandala Capital Jain Irrigation Systems Ltd's agri-NBFC subsidiary Sustainable Agro-commercial Finance Ltd (SAFL) raised Rs 112 Crore ($17.9 million) from Mandala Capital (Mandala). [Source: VCCircle, Apr 01, 2015]

Merger & Acquisition

Shantha Biotech co-founder buys fast-casual restaurant chain brand Hyderabad House Khalil Ahmed promoted private firm Food Krafters & Services LLP (FKS) has acquired the brand name of established restaurant chain Hyderabad House, for an undisclosed amount [Source: VCCircle, Apr 30, 2015]

SRI Capital-backed QSR chain Hello Curry acquires Paratha Post Hyderabad-based Red Sprout Foods Pvt Ltd, which operates an QSR chain under the Hello Curry brand,has acquired online food ordering and delivery service Paratha Post for an undisclosed amount. [Source: VCCircle, Apr 30, 2015]

Practo acquires fitness management app Fitho Healthcare technology startup Practo has acquired NCR-based FithoWellness, a web and app-based fitness management platform for an undisclosed amount [Source: VCCircle, Apr 23, 2015]

Zomato buys NexTable to enter restaurant table reservation service Zomato.com, owned and operated by Gurgaon-based Zomato Media Pvt Ltd, has acquired US-based restaurant table reservation service NexTable for an undisclosed amount in a cash and stock deal and said it plans to rebrand it to "Zomato Book" and launch operations in India, UAE and Australia. [Source: VCCircle, Apr 22, 2015]

Cloud solutions firm 8K Miles buys mobile application developer Cintel for $3.75M Cloud solutions provider 8K Miles Software Services Ltd has acquired Cintel Systems Inc, a US-based mobile application development and services company. [Source: VCCircle, Apr 22, 2015]

Japan's Tosoh Corp acquires clinical diagnostics products maker Lilac Medicare

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Japanese chemical and specialty products and materials major Tosoh Corporation has acquired Mumbai- based clinical diagnostics products company Lilac Medicare Pvt Ltd to establish bio-science operations in India [Source: VCCircle, Apr 21, 2015]

Online test preparation platform Toppr acquires competitor EasyPrep Mumbai-based Haygot Education Pvt Ltd which runs digital ed-tech startup Toppr.com, has acquired EasyPrep, an online entrance exam preparation platform, for an undisclosed amount. [Source: VCCircle, Apr 17, 2015]

Japan's Kagome buys majority stake in ready-to-eat food company Tasty Bite Japanese vegetable-based food products maker Kagome Co Ltd has acquired 70 per cent stake in the promoter entity of ready-to-eat Indian ethnic and Asian food products maker Tasty Bite Eatables Ltd (TBEL) for an undisclosed amount, according to a stock market disclosure. [Source: VCCircle, Apr 15, 2015]

Zomato buys cloud-based PoS system; to help restaurants manage inventory, payments Gurgaon-based Zomato Media Pvt Ltd, which owns the restaurant and event-listing site Zomato.com, has acquired MapleGraph Solutions Pvt Ltd, which operated a point-of-sales business, for an undisclosed amount in what is its first acquisition outside its core business of restaurant listings and reviews [Source: VCCircle, Apr 14, 2015]

Snapdeal acquires FreeCharge to build a larger play on mobile commerce E-commerce marketplace Snapdeal has acquired mobile recharge platform FreeCharge. Separate media reports had said, citing unnamed sources, that the deal could be worth Rs 2,800 crore or more (well over $400 million). [Source: VCCircle, Apr 08, 2015]

Real estate listing portal PropTiger buys digital design startup OoBI Singapore-based Elara Technologies Pte Ltd, which runs real estate search and booking portal PropTiger.com, has acquired Bangalore-based OoBI Media Solutions Pvt Ltd which operates a digital interaction design startup under the Out of Box Interaction (OoBI) brand, for an undisclosed amount. [Source: VCCircle, Apr 07, 2015]

Online assessment firm CoCubes buys educational institutes-focused CRM startup Edcited Gurgaon-based CoCubes Technologies Pvt. Ltd. acquired Edcited, which provides enterprise resource planning solutions to schools and colleges. The size of the deal is not disclosed [Source: VCCircle, Apr 01, 2015]

Issue No. 75: April, 2015 Page 14 of 17

Venture Capital TravelTriangle raises $8M from Bessemer Venture Partners and SAIF Partners Noida-based Holiday Triangle Travel Pvt Ltd, the company behind TravelTriangle.com raised $8 million (` 50 crore) in its second round of funding led by Bessemer Venture Partners. [Source: VCCircle, Apr 30, 2015]

Mobile-only food ordering startup TapCibo rebrands as Dazo, gets fresh funding TapCibo Online Solutions Pvt Ltd. rebranded itself as Dazo and raised an undisclosed amount in seed funding from a bunch of entrepreneurs including Sumit Jain (co-founder and CEO, CommonFloor), Aprameya Radhakrishna (co-founder, TaxiForSure) and Ashish Dev Kapur (co-founder, Yo! China) [Source: VCCircle, Apr 29, 2015]

Infuse Ventures invests in geothermal cooling solutions startup GIBSS Infuse Ventures, an early-stage investment firm associated with IIM Ahmedabad’s tech incubator CIIE (Centre for Innovation Incubation and Entrepreneurship), has invested an undisclosed amount in geothermal cooling solutions firm Green India Building Systems and Services (GIBSS) Pvt Ltd. [Source: VCCircle, Apr 29, 2015]

Re-commerce platform for used gadgets ReGlobe raises seed funding from Bessemer, Blume Gurgaon-based Manak Waste Management Pvt Ltd, which runs a used gadgets’ exchange service called ReGlobe, has secured seed funding led by Bessemer Venture Partners (BVP) and Blume Ventures. [Source: VCCircle, Apr 28, 2015]

Food delivery startup Grab raises $1M from Oliphans & Haresh Chawla Mumbai-based Grab A Grub Services Pvt Ltd, a food logistics startup which essentially provides third- party food delivery service to restaurants, has raised $1 million (Rs 6.3 crore) from Oliphans Capital and former Network18 CEO Haresh Chawla. [Source: VCCircle, Apr 27, 2015]

Ratan Tata invests in Chinese handset maker Xiaomi Ratan Tata has invested in handset maker Xiaomi, the world's most valued startup, as the Chinese firm makes a bigger push to capture a slice of the Indian market. [Source: VCCircle, Apr 27, 2015]

Online insurance broker Coverfox raises $12M from existing investors Accel & SAIF Mumbai-based Coverfox Insurance Broking Pvt Ltd, which owns and operates an online insurance portal coverfox.com, has raised Rs 75 crore ($12 million) in Series B round of funding from its existing investors Accel Partners and SAIF Partners. [Source: VCCircle, Apr 24, 2015]

Vir Sanghvi and top hoteliers launch restaurant concierge EazyDiner, raise funding EazyDiner Pvt Ltd, a restaurant reservation platform launched by journalist and food writer Vir Sanghvi, along with a group of hoteliers and restaurateurs, has raised its first round of funding from consumer

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focused fund DSG Consumer Partners, Gulpreet Kohli, former managing director with privte equity firm ChrysCap. [Source: VCCircle, Apr 23, 2015]

Ice cream retailer Hokey Pokey raises additional funding Drums Food International, the company which makes and sells Hokey Pokey brand of ice cream, has raised Rs 5 crore (around $0.8 million) in another round of angel funding from TPG Growth country head Vishal Narain and Fireside Ventures, a private investment firm floated by former Helion Venture Partners' senior managing director Kanwaljit Singh [Source: VCCircle, Apr 22, 2015]

Delhi-based test prep startup Avanti raises $1.5M in Series A from MSDF, Pearson Fund Delhi-based test prep startup Avanti Learning Centres has raised Rs 9.6 crore ($1.5 million) in second and its Series A round of funding led by Michael & Susan Dell Foundation, with participation from existing investor Pearson Affordable Learning Fund (PALF). [Source: VCCircle, Apr 22, 2015]

Weight management solutions firm Nutri-Health raises $2M from a Singapore-based fund Delhi-based Nutri-Health Systems Pvt Ltd, which provides personalised nutrition management services over the phone and runs a small set of offline wellness centres, has raised $2 million (Rs 12 crore) from a Singapore-based fund. [Source: VCCircle, Apr 20, 2015]

Online marketplace for medicines HealthKartPlus rebrands as 1MG; raises $6M Gurgaon-based Bright Lifecare Pvt Ltd has rebranded its online medicine store HealthKartPlus to 1MG and spun it off into a separate company 1MG Technologies Pvt. Ltd. The new firm has separately raised $6 million (Rs 32 crore) from existing investors Sequoia Capital, Kae Capital, Intel Capital, Omidyar Network and MakeMyTrip founder Deep Kalra. [Source: VCCircle, Apr 20, 2015]

YouWeCan backs startup behind mobile marketplace for beauty & wellness services Vyomo YouWeCan Ventures, a new early-stage venture fund floated by cricketer Yuvraj Singh, has made its debut investment by investing an undisclosed amount in a startup currently building its apps for a mobile marketplace for beauty and wellness services under the brand Vyomo [Source: VCCircle, Apr 20, 2015]

Waste paper recycler Pastiwala raises $4M from Strides Arcolab promoter Arun Kumar Vododara-based waste paper collection and recycling startup Sort India Enviro Solutions Ltd, which operates under the brand Pastiwala, has raised $4 million (approximately Rs 25 Crore) from Agnus Capital, a private investment arm of the promoters of public listed drug maker Strides Arcolab [Source: VCCircle, Apr 20, 2015]

Mobile-only local services marketplace TaskBob raises $1.2M from Orios and Mayfield

Issue No. 75: April, 2015 Page 16 of 17

Mumbai based startup Crenovative Ideas Pvt. Ltd, which runs a mobile-only home services marketplace under TaskBob, has secured $1.2 million (Rs 7.5 Crore) in seed funding led by Orios Venture Partners with participation of Mayfield India. [Source: VCCircle, Apr 16, 2015]

Online marketplace for local grocery delivery Grofers raises $35M in Series B round Locodel Solutions Pvt. Ltd, which runs hyper-local grocery and fresh food delivery platform Grofers, has raised $35 million (Rs 218 Crore) from its existing investors Tiger Global Management and Sequoia Capital [Source: VCCircle, Apr 15, 2015]

Hyperlocal food & grocery e-com startup PepperTap raises $10M led by SAIF Gurgaon-based Nuvo Logistics Pvt Ltd, which runs a hyperlocal grocery and food e-tailing startup under PepperTap, has secured $10 million (Rs 62 crore) in Series A funding from SAIF Partners and existing investor Sequoia Capital [Source: VCCircle, Apr 15, 2015]

Online grocer ZopNow raises $10M from Dragoneer, existing investors Bangalore-based ZN Retail Pvt Ltd, which runs online grocery property ZopNow, has raised $10 million (Rs 62 crore) in a fresh round of funding led by San Francisco-based Dragoneer Investment Group with participation from the existing investors Accel Partners, Qualcomm Ventures and Times Internet. [Source: VCCircle, Apr 13, 2015]

Education-focused computer games startup Nayi Disha gets seed funding from Ajay Relan Delhi-based education-focused computer games developer Nayi Disha Studios Pvt Ltd has raised Rs 2 crore ($320,000) in seed funding from private investor Ajay Relan, managing partner of mid-to-growth stage private equity firm CX Partners. Relan invested in his personal capacity. [Source: VCCircle, Apr 13, 2015]

Indulge Beverages raises $2M from former senior managing director at Helion, others Delhi-based Indulge Beverages Pvt Ltd, which makes and sells tea and coffee 'capsules' under the Bonhomia brand, has raised $2 million (Rs 12.5 crore) from a group of angel investors led by co-founder and former senior managing director of Helion Venture Partners, Kanwaljit Singh [Source: VCCircle, Apr 09, 2015]

Pharmacy chain Wellness Forever raises $3.4M from a group of private investors Wellness Forever Medicare Pvt Ltd raised Rs 20 crore ($3.4 million) from a consortium of high net-worth individuals (HNIs) and family offices led by Rajiv Dadlani Group [Source: VCCircle, Apr 08, 2015]

Issue No. 75: April, 2015 Page 17 of 17

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