Delhi based startup Roposo wants to become a network for fashion related micro blogging and aggregation. Take a look at how Roposo is making online shopping experience seamless.
Delhi based startup Roposo wants to become a network for fashion related micro blogging and aggregation. Take a look at how Roposo is making online shopping experience seamless.
For more, watch accompanying video.
IIM Kozhikode graduate Amarpreet Kalkat came up with an idea to setup a social intelligence company in 2012. Frrole – a Bangalore based venture lets brands amplify engagement with customers over social media and is partnered with Twitter in India.
IIM Kozhikode graduate Amarpreet Kalkat came up with an idea to setup a social intelligence company in 2012. Frrole – a Bangalore based venture lets brands amplify engagement with customers over social media and is partnered with Twitter in India.
For more, watch accompanying video.
Even as there is much optimism about how the new government is pulling out all stops to boost the country's creaking infrastructure, there is one investor that has stuck by it through both good times and bad.
CNBC-TV18's Kritika Saxena spoke with MK Sinha, CEO of IDFC Alternatives, the private equity arm of IDFC, which has routinely invested in heavily regulated sectors such as infrastructure, power and real estate.
One of India's large PE funds, Sinha discussed the fund's investment strategy as well as the outlook for the sector.
Below is the transcript of the interview on CNBC-TV18.
Q: If I look at the trajectory that IDFC Alternatives has maintained, you are sitting on a corpus of around USD 3 billion that you run across seven odd funds, you are perhaps one of the larger PE domestic investors in the country. You are probably higher than most of the foreign players in fact. Going ahead given that now we are seeing a turnaround when it comes to the reform cycle especially the sectors that you invest in, infrastructure, real estate being the key, what is the kind of investment or what is the kind of capital that you are looking at deploying in the next two to three years?
A: We currently have an infrastructure fund of about a billion dollars that we need to deploy so that is the immediate priority for us in deployment terms. We are looking to raise our next generation of private equity funds which is going to be our fourth private equity fund; it is about USD 400 million. We are looking to raise our next foreign real estate fund, that is going to be in the midmarket housing sector so there is two fund raisers coming up then there is deployment on the infrastructure side so that is our immediate plans right now.
Q: So the real estate fund, how large is the corpus and what would be the focus areas? Would it be across real estate or specifically midmarket?
A: So, we are looking at a mid market housing fund, that is going to be approximately USD 200-250 million approximately, that is our hard cap. We are going to be investing in six major cities across India.
Midmarket housing, the way we define it is housing for entry level aspirants, house owners so, it is basically for the 30-35 year olds who are buying their first house, nuclear families in cities that are disintegrating into two or three sub-groups buying their first house, so that is the kind of clientele that is going to be our target for midmarket housing.
Q: You have dabbled in the infrastructure sector even at a time when things were struggling when their was evident policy uncertainty around sectors like infrastructure, power, energy. [With the new government coming in] have things changed on ground actively when it comes to these three sectors?
A: There is too much made out of: have things changed on the ground? The government is doing a fantastic job. For a change the government is execution focused.
They did not get paralyzed when the Supreme Court cancelled the coal blocks. Within a month you had a framework for auctioning out these coal blocks again. These auctions have been successfully completed and the government has raised close to Rs 2 lakh crore which is going to be good for the system generally.
So they have been very execution focused, they have been very governance-focused, they seem to be doing the right things because we figured that if you are not governance focused, things can unravel in an ugly way.
Q: [Interrupts] Absolutely, very true.
A: We have seen that in the telecom, road, power sectors. So the good news is this government is very execution focused. You cannot get things right all the time. There has perfect is the enemy of the good, so it is good. You may not have a perfect solution but you have a solution and that makes us feel lot more optimistic.
Q: What is the timeline that for investors like yourself to say that India is a place where it is fairly easy to do business?
A: That is a mindset issue. Again the government has certain initiatives; the Pragati Initiative which is progressive governance or whatever and timely implementation. So, it shows the mindset, the government's mindset is to make sure the projects get implemented on time. The project management office (PMO) is directly monitoring a bunch of projects. They are simplifying bureaucratic processes, there is focus on certain sectors of the economy, manufacturing for instance. They have been trying to pull through the land acquisition bill.
So, it is a process, I do not think you can put timelines to it. Like I tell a lot of my LPs, the foreign investors that invest with us: in India you cannot look at India at a point in time, because you would be terribly wrong either ways -- on the optimistic side or on the pessimistic side. You have to look at India in three-year snapshots and we do well in every three-year snapshots.
Q: So, staying balanced is the key to your success?
A: Correct, I would say that.
Q: Let me ask you about the infrastructure space specifically in that case. In terms of the kind of investments that you have made, can you break up how much so far has gone into infrastructure and going ahead, what are the kind of infrastructure assets that you are specifically looking at?
A: Our infrastructure fund is meant for infrastructure, so all the investments in the infrastructure fund have gone to the sector. In our private equity fund, we have invested n the infrastructure enabler space; that is about 60 percent of our third fund. 40 percent of our third fund was invested more in the zone of confluence between infrastructure and consumption.
Real estate by definition is not invested in infrastructure. What is our focus in the infrastructure space right now? It is basically acquiring operating assets because in the last three years, there has not been any new asset creation or any new plans for asset creation.
So, that opportunity does not exist as of now. As and when that opportunity crops up, we would be more than happy to consider it but right now it is a market dislocation right at the infrastructure space. A lot of sponsors are over-leveraged. They are looking to pare down their leverage by selling assets we are interested in, operating assets.
Q: So a lot of groups like GMR , GVK , IVRCL are consolidating their assets in order to pare debt, as you said. Lot of individual projects that are on the block or that are in the need of investment where you can probably look at minority investments, would these be interesting assets for you in that case?
A: I pick on the minority investment term. In the road sector we are looking to buy controlling interest. In the power sector we are happy to buy minority interest alongside credible sponsors. So, someone who has the ability to continue to take the twists and turns that one will see in the power sector over the next two years.
Q: So power will not be a big play right now for sometime unless and until it is.
A: Actually power will probably be our biggest play right now.
Q: But you will not look at controlling stake or buy out, you will stick to minority for now.
A: We will stick to our minority position with significant rights.
Q: Coming back to the roads sector space, you have already bought out a large road asset, if I am correct, in the last couple of quarters. Specifically are there any deals that are in the offing or that are there any specific projects that you would prefer versus the others?
A: We have a huge pipeline in the roads sector. We are waiting for the exit policy to be announced by the National Highway Authority. As soon as the exit policy is announced we are going to invest significantly in the roads sector. We find that sector as a proxy for the Indian economy. The economy is going to grow at 6-8 percent. Traffic is likely to grow higher than that and that is where we are likely to make money.
Digital agency Glitch started in 2009 is a production house but pivoted from content development to full creative agency that helps brand build a digital presence. For more, watch accompanying video.
Digital agency Glitch started in 2009 is a production house but pivoted from content development to full creative agency that helps brand build a digital presence.
For more, watch accompanying video.
Kyoorius announced the dates for its two day advertising, marketing and media festival Melt. Conceptualised in partnership with D&AD, Group M and Zee, Melt will be held on May 21st and 22nd in Mumbai and will host exhibitions, seminars and workshops for industry members.
Kyoorius announced the dates for its two day advertising, marketing and media festival Melt. Conceptualised in partnership with D&AD, Group M and Zee, Melt will be held on May 21st and 22nd in Mumbai and will host exhibitions, seminars and workshops for industry members. Watch accompanying video for more details.
Also watch the big winner of the 5th edition of the Olive Crown Awards. Hosted by the International Advertising Association or IAA, Olive Crown Awards recognise excellence in communicating sustainability or green advertising.
Nissan sells various models in the country, including hatchback Micra, sedan Sunny and premium SUV Terrano.
Japanese car maker Nissan on Thursday reported 32.91 percent decline in its India sales at 4,717 units in March. It had sold 7,031 units in the year-ago period, Nissan Motor India said in a statement.
Nissan sells various models in the country, including hatchback Micra, sedan Sunny and premium SUV Terrano.
However, for the entire 2014-15 fiscal ended March 31, Nissan reported 24.21 percent jump in sales at 47,474 units as against 38,220 units in FY 2013-14. Nissan said this is the highest ever volume achieved by it in India in any fiscal and the company is amongst the top 3 gainers in the auto industry here.
"FY'14 has been a significant year when we re-established our India business with an independent sales and marketing organisation.
The growth we achieved was supported by the launch of 2 new models and fastest growing network," Nissan India Operations President Guillaume Sicard said.
The company is targeting 5 percent market share by FY'20, he added. Nissan Motor India Managing Director Arun Malhotra said that 2014 saw a huge focus on sales and marketing activities.
"Our sales network grew to 176 outlets with 60 outlets added in FY14. We also launched a host of innovative integrated campaigns to bring our vehicles closer to our customers," Malhotra added.
The e-rickshaw, which has been certified by Automotive Research Association of India (ARAI), comes with 1,000 W motor and can cover a distance of 90 kms on a single charge, he added.
Two-wheeler maker Hero Electric on Thursday launched an electric rickshaw 'Raahii' priced at Rs 1.10 lakh (on road, Delhi).
"We are highly ecstatic on launching this innovative model of e-rickshaw. Raahii is designed to ease the hassles that daily commuters and drivers have to go through while travelling," Hero Electric CEO Sohinder Gill told reporters here.
The e-rickshaw, which has been certified by Automotive Research Association of India (ARAI), comes with 1,000 W motor and can cover a distance of 90 kms on a single charge, he added.
The vehicle comes with various features like internal LED light for passenger and driver and USB mobile charger for driver, side curtains and inclined back support for passengers. It will be sold through the company's 120 dealerships.
"We have already sold more than 1 lakh electric two-wheelers till now and expect to sell a lot of e-rickshaws in states like West Bengal, Uttar Pradesh, Delhi and Gujarat," Gill said.
Besides, the company is looking at developing markets in south India, he added. The company is also working on an upgrade of Raahii which it plans to launch shortly, Gill said.
Hero Motocorp stock price
On April 01, 2015, Hero Motocorp closed at Rs 2655.60, up Rs 13.00, or 0.49 percent. The 52-week high of the share was Rs 3271.80 and the 52-week low was Rs 2110.00.
The company's trailing 12-month (TTM) EPS was at Rs 123.37 per share as per the quarter ended December 2014. The stock's price-to-earnings (P/E) ratio was 21.53. The latest book value of the company is Rs 280.43 per share. At current value, the price-to-book value of the company is 9.47.
Private equity (PE) firms have invested about USD 2,646 million spread across 124 deals during the quarter ended March 2015, clocking a growth of 20 percent over the corresponding period last year, says a report.
According to early data from Venture Intelligence, a research service focused on private company financials, transactions and their valuations, the investment in the said quarter registered a year-on-year jump, but declined on a quarter-on-quarter basis.
The figure is 20 percent higher than the same period last year when USD 2,212 million were invested across 132 transactions, but 36 percent lower than the immediate previous quarter, which saw USD 4,120 million pumped in through 112 deals.
There were six PE investments worth USD 100 million or more during the first quarter of 2015 as compared to four in the year-ago period.
The largest investment was IFC's USD 260 million commitment to microfinancier-turned-bank licence holder Bandhan Financial Services. Another microfinance firm, Ujjivan Financial Services, saw USD 100 million investment from a clutch of investors, including CDC Group, IFC and CX Partners.
Two large hospital operators -- Manipal Health Enterprises and Medanta Medicity -- attracted over USD 100 million. While Manipal pouched Rs 900 crore from TPG Capital, Medanta attracted Rs 700 crore from Temasek (via a secondary purchase from Punj Lloyd).
The largest e-commerce deal reported in the first quarter of this year was the USD 100 million raised by ShopClues.com in the fourth round led by Tiger Global, a key investor in rival Flipkart.
Meanwhile, some interest is back in the power sector, with IDFC Alternatives committing USD 81 million to an SPV (special purpose vehicle) of Diligent Power and Actis announcing an SPV of its own -- Ostro Energy - to focus on renewable power projects.
A sector-wise analysis shows that the IT & ITeS companies accounted for 32 percent of the value pie - cobbling up USD 836 million across 71 deals - during the March quarter.
BFSI (banking, financial services and insurance) firms came in close at 31 percent, attracting USD 816 million spread over 12 deals.
They were followed by healthcare and life-sciences firms with USD 392 million across nine transactions and energy companies with USD 207 million across six deals. All figures in this note are exclusive of PE investments in real estate.
The Mumbai-based full service carrier has entered into a code-share pact, which comes into effect from this month with second largest German carrier airberlin to offer these services.
Private carrier Jet Airways on Thursday said its customers can now travel seamlessly to the German cities of Berlin and Dusseldorf via its overseas hub Abu Dhabi.
The Mumbai-based full service carrier has entered into a code-share pact, which comes into effect from this month with second largest German carrier airberlin to offer these services.
"We are pleased to commence our code-share partnership with airberlin, offering our guests convenient flight connections to Berlin and Dusseldorf via Abu Dhabi.
We are confident that these flights will prove to be popular amongst travellers between India and Germany, not only for business purposes but tourism as well," Jet Airways Chief Commercial Officer Raj Sivakumar said on Thursday.
Jet Airways, in which Gulf airline Etihad is a strategic investment partner with 24 per cent stake has now 21 code-share partners and over a 100 inter-line partners, the airline said in a release.
While code-sharing allows an airline to book passengers on its partner carriers and provide seamless transport to multiple destinations where it has no presence, an inter-line pact allows an airline to issue and accept tickets for flights that are operated by the partner airlines.
When selling an inter-line ticket, the operating airline's own flight numbers are used. Jet Airways operates 12 daily services to Abu Dhabi from 11 Indian cities. Under the pact, Jet Airways would place its code (9W) on airberlin's (AB) daily flights to Berlin (TXL) and Dusseldorf (DUS) from gateway point Abu Dhabi.
"We look forward to welcoming travellers from India on board of our airberlin flights from Abu Dhabi to the German capital Berlin and to Dusseldorf, the state capital of North Rhine-Westphalia, which is one of the most powerful economic regions in Germany.
"Our joint guests will benefit from smooth flight connections and our outstanding product which we are offering on the ground and in the air," airberlin's senior Vice-President for Alliances and Cooperation Stephan Nagel said.
Jet Airways stock price
On April 01, 2015, Jet Airways closed at Rs 488.80, up Rs 0.70, or 0.14 percent. The 52-week high of the share was Rs 543.50 and the 52-week low was Rs 203.50.
The latest book value of the company is Rs -196.11 per share. At current value, the price-to-book value of the company was -2.49.
Diageo has entered into an agreement to acquire the remaining 50 per cent share of United National Breweries (UNB) interest in the company, thereby making it a wholly owned subsidiary, the company said in a statement.
Diageo, the world's largest spirits maker today took full control of South African beer maker United National Breweries by acquiring the additional 50 percent stake in the company from Vijay Mallya-controlled Pestello Investments for an initial payment of USD 22 million.
Diageo has entered into an agreement to acquire the remaining 50 percent share of United National Breweries (UNB) interest in the company, thereby making it a wholly owned subsidiary, the company said in a statement.
"Diageo will acquire this further interest from Pestello Investments Inc for an initial payment of USD 22 million and a potential earn-out payment of up to USD 14 million," the statement added.
It further said that the transaction is 'conditional on consent from the South African competition authority', and it is expected to complete within the current fiscal.
Diageo, which is also a major producer of beer and wine and owner of popular brands such as Johnnie Walker, Guinness and Smirnoff had in January 2013 acquired 50 percent interest in UNB's traditional sorghum beer business in South Africa reportedly at USD 36 million.
In 1996 Mallya's UB Group had acquired 30 percent stake in UNB and later increased it to 100 percent.
In 2000, UNB had acquired beer business from Traditional Beer Investments (TBI), a subsidiary of South African Breweries.
According to Diageo: "Once completed, this transaction will give Diageo control of the leading traditional sorghum beer business in South Africa, including the ability to make investment decisions to support the continued growth of United National Breweries brands in the sorghum beer category."
