The Hindu Business Line : Srei International goes global — German subsidiary formally launched

Mr Hemant Kanoria, MD, Srei International Finance Ltd, exchanging documents with Dr Stephan Kinnemann, Chairman & CEO, International Infrastructure Services GmbH, in Kolkata on Thursday. - - Parth Sanyal

Kolkata , Aug. 19

SREI International Finance Ltd has gone global with the formal launch of operations of its newly-formed wholly-owned German subsidiary, International Infrastructure Services GmbH (IIS).

The company has also announced a CEO for the German subsidiary.

Registered in Bonn, IIS will have two managing directors, as required by German company regulations. While Mr Hemant Kanoria is the MD on the Indian side, Dr Stephan Kinnemann, a banker by profession, will be heading the international operations from his Bonn office.

Dr Kinnemann is also the special advisor on investment and trade to Afghanistan, appointed by the Government of the Federal Republic of Germany. The two companies today formalised the relationship by signing the articles of association and exchange of documents. Formed with an initial equity base of one million euro, the board structure of the new company and formation of another outfit in Russia would be finalised at Srei's forthcoming board meeting here, following the AGM on August 28.

Introducing Dr Kinnemann at a media conference here on Thursday, Mr Hemant Kanoria, MD, Srei, said IIS would act as a bridge between the small and medium German and Indian companies, particularly in the area of infrastructure equipment financing and other financial services, including consultancy.

Describing IIS as fulfilment of Srei's long standing dream of emerging as a global player in equipment leasing and other related financial services, he said the new outfit would be competing with other international infrastructure finance companies that may be entering India for participating in the new projects such as developing airports and urban infrastructure.

Mr Kanoria said a new office of IIS in Russia, to cater to the requirements of the CIS region, was important, as fresh opportunities in the area for infrastructure financing were huge.

He said the Indian companies would also need help to participate in the international financing contracts, and IIS would act as the bridge, concentrating mainly on knowledge-based activities. "We will try and effectively leverage Srei's long-standing relationship with DEG, owned by the German Government", he added.

Outlining the business objectives, Dr Kinnemann said this would further strengthen Indo-German economic relations. He said his association with Srei through his chairmanship at DEG, which is a long time stakeholder in the Indian company along with IFC, Washington and FMO (the Dutch financial institution) went back a long way.

Asked if DEG would have equity participation in IIC, Dr Kinnemann said DEG might be in the picture in Russia.