Friday, April 27, 2007

Canaan Partners, SVB Invest $3.1 Million In Remote Computer Support Company iYogi

Canaan Partners, along with SVB Financial Group, has invested $3.1 million in a Delhi-based computer support startup iYogi. The company provides live computer support on the phone and via remote access for home and small businesses.

The investment will be used to expand iYogi’s service offerings, sales and marketing programs, and to enhance delivery operations in India, a release said. Alok Mittal, Canaan’s Executive Director in India, will join the board of iYogi. This is the second investment in India for Canaan. It had earlier invested $8.5 million in BharatMatrimony.com alongwith Yahoo India.

Canaan is focused on early stage deals or Series A investments in India. iYogi is headquartered in Gurgaon, near Delhi, and provides computer support via phone and remote access for home and small business users globally. It charges $9.99 for a single incident and $89.99 for an annual subscription or unlimited incidents.

Monday, April 09, 2007

--Canaan Partners is close to making its second investment in India after it set up shop in the country last year. The Silicon Valley venture fund has zeroed in on a Delhi-based start-up that provides remote desktop services for US and UK customers. The firm may invest about $2 million-$5 million. A Business Standard report says the firm has invested in an unnamed company. When VC Circle contacted Alok Mittal, Executive Director, Canaan Partners India, he confirmed the development but the deal was yet to be closed. He did not reveal the name of the company or other details. Canaan, along with Yahoo, had last year invested $8.65 million in BharatMatrimony Group.

--Every telecom company is or have demerged their tower businesses, and they are offloading stake to private equity funds. Tata Teleservices (TTSL) is reportedly in talks with Singapore’s Temasek Holdings, besides other private equity players to sell stake. It may sell up to 20 per cent stake in the subsidiary which will hold all wireless towers and other related telecom infrastructure. Temasek already owns under 10 per cent in TTSL. Bharti Airtel and Reliance Communications have already hived off their tower businesses, but are yet to sell stakes.

--Mobien Technologies, a provider of enterprise mobility solutions for last mile connectivity, is raising venture capital. The company, founded in 2003 by Logitech Systems India, recently launched iNotify, a mobile solution that integrates an organisation's ERP systems with the mobile devices used by field staff. The company has clients like ITC, Nagarjuna Fertilizers and Dr Reddy's. It has recorded revenues of $6,00,000 in FY 2006-07. (Via Business Standard)

Citi, Macquarie And Three Other Foreign Firms In Race For Stake In UTI Securities

A big chunk of stake in broking firm UTI Securities is up for sale. The seller is Securities Trading Corporation of India (STCI), which holds 100 per cent in the company. STCI has put 49 per cent on the block.

There is interest from several foreign broking houses in this semi-government undertaking. Citigroup, Macquarie Bank, Standard Chartered, Societe Generale and Kuwait-based Global Investment House are believed to be in the race, according to a report in Business Standard.

In April 2006, STCI bought 100 per cent stake in UTI Securities for Rs 265 crore last year from Specified Undertaking of UTI (SUUTI), which was the administrator. According to this deal, STCI has a minimum lock-in of three years for 51 per cent stake, which ends in 2008. It can however, hawk the rest any time. Interestingly, STCI prefers a foreign player as a strategic partner. UTI Securities started as an institutional brokerage firm. Now it has moved to retail broking too. It also has an online broking division - Usectrade.com.

Broking business has been a very active sector from the M&A and private equity point of view. Recently, BNP Paribas bought 33.35 per cent stake in Geojit Financial Services for Rs 207 crore. E*Trade and SAIF Partners are investors in IL&FS Investsmart. Citigroup Venture Capital International recently acquired 19.9 per cent stake in Mumbai-based Anand Rathi Securities. General Atlantic, Intel Capital and HSBC Private Equity are investors in Sharekhan. Motilal Oswal Financial Services, which had sold 9.48 per cent stake to New Vernon Private Equity Ltd and Bessemer Venture Partners last year, is going in for an IPO now.