The Hindu Business Line : Temasek arm invests $3 m in Everonn

MR P. KISHORE (left), Managing Director, Everonn Systems, and Ms Goh Mui Hong, President and CEO, ST Asset Management Ltd, at the signing of an MoU in Chennai on Tuesday. — Bijoy Ghosh

Chennai , Aug 1

India China Pre IPO Equity Ltd, a subsidiary of the Singapore-based Temasek Holdings Pvt Ltd, has invested about Rs 13.5 crore ($3 million) in Everonn Systems. India China Pre IPO is managed by ST Asset Management which provides foreign funding to growing companies in Asia.

Everonn Systems is a fully integrated knowledge management, education and learning solutions company. "ST Asset has infused fresh capital into Everonn, but equity dilution is yet to be finalised," said Mr P. Kishore, Managing Dierctor, Everonn Systems.

This investment will partly fund Everonn's expansion plans and projects on hand. Everonn is dependent largely on government tenders for business in the education sector. It has bagged a five-year contract for setting up IT infrastructure and training facilities in 555 Government schools in West Bengal. This will be implemented through a build-own-operate-transfer (BOOT) model. "We will add about 1,000 employees for this project," said Mr Kishore, declining to state the size of the deal. Everonn spends between Rs 2 lakh and Rs 5 lakh per institution. The company has also bagged a contract for providing IT infrastructure to 1,680 Government schools in Tamil Nadu and plans to increase headcount.

The company has 2,500 employees and operates in 14 States in India.

It will set up base in West Asia. "Over the next six months, we plan to have one office each in all West Asian countries," Mr Kishore told Business Line. The education market in the region is estimated at about Rs 45,00,000 crore ($1 trillion), he said.

The company is looking at franchisees as well as joint ventures to fund the expansion. There are plans to enter China and Malaysia through partnerships.

Fresh funding would be required for these ventures and the company plans to look at other investors besides an initial public offer for the same. The company has planned a Rs 50-crore expenditure for the next three years. Everonn's revenue as on March 2006 was Rs 31 crore and the company is aiming at revenues of about Rs 55 crore this year.

ST Asset plans to invest about Rs 13.5 crore ($3 million) each in 10 more Indian companies. These companies would be in the education, retail and manufacturing sector with at least 10 years of operation, said Ms Goh Mui Hong, President & CEO, ST Asset Management.

More Stories on : Software | Venture Capital

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Wells Fargo to set up IT, BPO centre

Essar calls off BPL Mobile sale to Hutchison

USO fund: Finance Ministry faulted

Bharti sets up new unit to develop mobile content

DoT kicks off USO project for funding cell infrastructure

`Sanchar Haats' at Metro stations

E-Parisaara to recycle glass from computer monitors

HFCL net profit at Rs 18.2 cr

Temasek arm invests $3 m in Everonn

Wipro signs licensing pact with British Telecom

Motorola, Tech Mahindra tie up to form CanvasM

Yatra launches online services