IFCI Venture Capital Funds Limited announces financial investment in Luminous Teleinfra
IFCI Venture Capital Funds Ltd. (IVCF), to make initial investment of INR 160 Million in the first round of funding
Tweet-- IFCI Venture Capital Funds Limited, the Venture Capital arm of IFCI Ltd., today announced its decision to make a financial investment in Luminous Teleinfra Limited, a SAR group company, which is launching its passive telecom infrastructure venture.
IFCI Venture Capital Funds Ltd. (IVCF) is making an initial investment of INR 160 Million in the first round of funding in Luminous Teleinfra Limited for acquiring a small stake in the company.
Luminous will set up manufacturing units in Himachal Pradesh to manufacture deep-cycle telecom batteries, power management units, power conversion devices and innovative solutions for reduction in operating expenditures and carbon emissions for telecom operators.
The company will also provide turnkey site preparation services for telecom cell sites all over India leveraging its competencies in supply chain, project management and network design and implementation.
Luminous Teleinfra Limited has put together a team of leading industry professionals to manage its aggressive ramp up plan in this business. The company has developed unique technologies for enhancement of energy efficiency in telecom BTS (Base Transreceiver Station) sites. These technologies will enable the use of renewable energy sources like wind and solar power to substantially reduce operating expenditure and carbon footprint for telecom operators in India and developing countries all over the world.
The company has already started the work on the project and is expecting to complete the project by 2nd quarter of financial year 2009-10. This project is being financed by promoter’s equity and term loans by banks.
Speaking on the occasion, Mr Atul K Rai, Chairman of IVCF said, “The rapid growth & transformation of the Indian Telecom industry combined with the need for a dedicated passive infrastructure service provider, translates into a promising business opportunity. We feel that SAR group, with its background & experience, can enable its group company, Luminous Teleinfra Limited, to emerge as one of the key players providing support for maintaining passive telecom infrastructure. IVCF is investing in the company’s potential for scaling-up operations at accelerated pace. ”
Speaking on the occasion, Mr. Rakesh Malhotra, MD of Luminous Teleinfra Limited and founder of SAR Group said, “We view this investment by IVCF as a validation of the business model of Luminous Teleinfra Limited and the Company looks forward to a great partnership with IVCF in the future.” He added “The market size in the telecom passive infrastructure space for our products and services over the next few years in India and the developing world is well over USD 6-8 Bn. In addition to rapidly scaling up capacities, the company will also pursue acquisition opportunities overseas. To fund its growth plans the company will raise the additional equity capital going forward.”
Notes to Editor
About IFCI Venture Capital Fund (IVCF):
IVCF is a subsidiary of IFCI Ltd. and is a public financial institution. It was promoted with the objective of broadening the entrepreneurial base in the country by providing funds to fill gaps in promoter’s contribution. IVCF has a professionally qualified team of executives with several years of experience. IVCF, with its institutional background, not only provides necessary comfort level to the entrepreneurs but also helps them during critical phases of venture.
About Luminous Teleinfra Limited:
Luminous Teleinfra Limited is a company focusing on providing energy efficiency and operating expenses reduction solutions to telecom operators. The company delivers innovative integrated infrastructure solutions that reduce decencies and consume of focal fuels. The company has business to be around the top 5 passive telecom infrastructure solution provides by 2050.
About SAR Group:
The SAR Group started its operations in 1988 with revenue exceeds INR 500 Crore in financial year 07-08. The group business includes Power electronics, energy storage, renewal energy, engineering, design, support services to electric tools. The group has customers in 29 countries in Asia pacific, Middle East and Africa. Besides Luminous Teleinfra the group includes Luminous Power Technologies (P) Limited, Luminous Engineering and Technology Services (P) Limited and Lectrix Motors Limited.
For further information contact:
Bhavana RaoParesh Pradhan
Assistant General Manager Director & President
IFCI Venture Capital Funds Ltd.Luminous Teleinfra Limited
+91-9873302255+91- 98101 63490
business@ifciventure.com paresh@luminousteleinfra.in