The Hindu Business Line : Intex mulls equity market foray

Hyderabad, Aug. 21 Intex Technologies (India) Ltd, an IT hardware and peripherals company, is evaluating a plan either to go public and or sell stake to private equity groups.The Executive Vice-Chairman of Intex, Mr Ramesh A. Vaswani, told newspersons that “though we have not yet finalised plans for an IPO, we are actively considering this option. Meanwhile, at least three private equity players have approached us and we are in dialogue with them…Intex has grown at a compounded annual growth rate of over 50 per cent in the last five years to achieve a turnover of Rs 260 crore in 2006-2007, and the momentum continues. We are on course to achieving Rs 400-crore turnover this fiscal.”

BUSINESS REJIG

The company has restructured its business along verticals as also its product portfolio. It plans to concentrate on IT and entertainment products. The demand for IT products has shot updue to eGovernance initiatives of various States. One good deal could fetch over Rs 5 crore and has the potential to boost revenues significantly, he said.

The southern region is one of the fastest growing areas for the company, and Intex expects to log in revenues of Rs 90 crore, stepping up sale of consumer electronics goods, IT hardware and car entertainment products.

EXPANDS mobile RANGE

Intex had forayed into sales of its own brand of GSM cellular phones earlier this year with the launch of four models. The company has expanded this to over eight models and plans to roll out more.

As a part of the company’s expansion in retail, Intex has partnered with some of the leading retail chains and hypermarkets such as Spencer’s, Next, Cellucom, RPG and Kroma.

As a part of this drive, Intex has opened 17 dedicated shop-in-shop counters in South.

“During the course of expansion plans, we expect to invest about Rs 10 crore during the year, including in IT infrastructure. This will replace the existing home grown IT infrastructure of the company.” .

For a pan-India presence, Intex is in the process of expanding into category B and C cities, where it sees demand from homes, small offices and small and medium sized enterprises.

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