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$200-mn VC fund on the prowl in India
October 08, 2004 21:05 IST
Boston-based $200 million venture fund TD Capital is looking for electronics and information technology start-ups and early growth companies in India for investment.
"We invest in system infrastructure, electronics and software companies which are just starting out or in early stages of their growth. We are looking for similar companies here and found close to 10 companies we could be interested in," Group Head and Managing Director (Ventures) at TD Capital Paul L Ciriello said.
"Normally we invest in one among the 500 proposals we get. But within a few days in India we have found close to 10 companies we could be interested in," he said
The companies TD was interested to fund were the ones which already have a tie-up with American companies or those who want to service American markets, said Ciriello, who is in India with Boston chapter of The Indus Entrepreneurs to scout for companies to invest in.
He said while TD invests $5 million in the first round in any company in India, this figure would be $1 million mainly because of low cost of operations.
"We invest for a period of three to five years and then exit the company either through initial public offer or sale to another company. We have not so far seen buy-out by any of the promoters," Ciriello.
He was bullish about Indian talent and said rarely in any market does one get both great engineering and management talent."When we fund any technology company in Canada we put our own managers but in India we can get both," he said.