Need to know | Dubai fund to invest $22mn in Bangalore co

Need to know | Dubai fund to invest $22mn in Bangalore co

Mumbai: Dubai-based fund, Infrastructure Projects International, plans to invest $22 million (Rs87.5 crore) into Bangalore-based Hindustan Infrastructure Projects & Engineering Pvt. Ltd, a firm promoted by Rajya Sabha member Rajeev Chandrasekhar.

The Foreign Investment Promotion Board will consider the proposal at a meeting scheduled for Friday, said a finance ministry official who did not wish to be named. The Dubai firm will invest in HIPE Transport Ventures Pvt. Ltd, a unit of Hindustan Infrastructure Projects, that focuses on transportation and logistics sectors including ports, airports and container freight train operations. Several other foreign investors, including private equity players, are expected to invest in HIPE Transport Ventures in the coming months, according to an executive at Hindustan Infrastructure who did not want to be named.

Sebi makes changes in IDR guidelines

Mumbai: The Securities & Exchange Board of India (Sebi) on Thursday amended its guidelines on Indian Depository Receipts (IDRs).

Listed companies satisfying specified requirements can now make fast track issues through follow-on public offerings and rights Issues. The eligibility criteria for the purpose include minimum market capitalization of public holding, trading turnover, track record of compliance with listing requirements and investor grievance redressal, etc.

According to the new guidelines, all categories of investors can apply for such issues provided 50% of the issue is subscribed by qualified institutional buyers. It also allows companies making public issues to issue securities to retail shareholders at a discounted price, provided that such discount does not exceed 10% of the price at which securities are issued to other categories of public.

- Nesil Staney

Edelweiss Capital fixes IPO price at Rs825

Mumbai: One of the country’s largest institutional brokerages, Edelweiss Capital Ltd, has fixed the price of its initial public offering (IPO) at the higher end of its price-band at Rs825.

The company had fixed the price band at Rs725-825 for 8.3 million equity shares on offer.

The issue, which opened on 15 November and closed on 20, was subscribed about 111 times, a company statement said on Thursday.

The qualified institutional bidders (QIB) portion was subscribed nearly 153 times; the non institutional bidder portion approximately 164 times; the retail bidder portion about 17 times and the employees reservation portion was subscribed about 10 times.

Mumbai-based Edelweiss Capital provides investment banking, institutional equities, private client broking, asset management and wealth management services.

- Staff Writer

ICL offers Rs15 cr prize money, tops IPL’s booty

New Delhi: The Essel Group-promoted Indian Cricket League (ICL), starting on Friday at Panchkula near Chandigarh, will offer Rs15 crore as prize money, almost four times the amount it had announced earlier.

“And this could go a little higher if we decide to introduce a ‘Man of the Tournament’ award," Essel executive vice-president Ashish Kaul said on Thursday. “We are still trying to figure that out."

ICL prize money tops the $3 million (Rs12 crore) offered by the Board of Control for Cricket in India (BCCI) for its official Indian Premier League (IPL). It’s also substantially more than the $1 million Essel had originally announced for ICL, dubbed a “rebel league" by BCCI.

Kaul said the champion team would receive Rs3.9 crore, the runner-up Rs1.9 crore, and the following four teams would win Rs1.5 crore, Rs1.25 crore, Rs1 crore and Rs85 lakh.

In comparison, the Indian national team earned $490,000 (about Rs1.96 crore) for winning the ICC Twenty20 World Cup in South Africa; both ICL and IPL will be played on a similar format.

The best player in each of the 20 matches to be played between 30 November and 16 December will receive Rs3.75 lakh.

- Anik Basu

Aptivaa Consulting gets growth-stage funding

Mumbai: Financial risk management solutions firm, Aptivaa Consulting Solutions Pvt. Ltd, has received undisclosed growth-stage funding from SBICAPS Ventures Ltd, a wholly-owned subsidiary of SBI Capital Markets and Japan’s SBI Holdings Inc.

The investment has been made from the $100 million (Rs398 crore) India Knowledge Fund, a joint venture between SBICAPS Ventures and SBI Holdings, Aptivaa said.

- Staff Writer

3i invests $101 million in Soma Enterprise

Mumbai: UK-based private equity investor 3i Group Plc. has invested $101 million (Rs402 crore) in Hyderabad-based engineering and construction firm Soma Enterprise Ltd. The size of the minority stake was not disclosed.

Soma is focused on construction and development of core infrastructure projects in the transportation, hydel power and water resource sectors. It has recently started work in urban infrastructure projects such as commercial and residential real estate.

Anil Ahuja, managing director and co-head of 3i Asia, said they have been watching Soma for two years as the company has one of the highest return on capital employed in the industry. He said the company would use the funds to evolve its business model from service to build-operate-transfer (BOT).

This will be 3i’s second investment, in addition to Adani Power, out of the 3i India Infrastructure Fund, which is targeting $1bn in commitments. Total investments in infrastructure are at $450 million across five companies.

- Rana Rosen