Business Daily from THE HINDU group of publications
Thursday, Sep 21, 2006

Cross Currency

Group Sites

Corporate - Venture Capital
Markets - Foreign Institutional Investors
Leela Ventures chief takes stake in Millennium India

Our Bureau

Holds about 20,000 shares

Mumbai , Sept. 20

Hotelier Captain C.P. Krishnan Nair said on Tuesday that he is one of the promoters of Millennium India Acquisition Company Inc (MIACI), a `blank cheque' company listed with the American Stock Exchange. Mr Nair, who is the Chairman of Leela Venture, holds about 20,000 shares in the new company.

A blank cheque company is floated by a band of promoters (in this case, some NRIs and a few high-profile Indian businessmen) to raise funds through first-time offerings on the US bourses and use the cash to invest in Indian companies. Around 11.7 million equity shares were issued at an offer price of $8 per share.

Prospective business

"Post the listing on the American Stock Exchange, we have managed to pool in $58 million from the US investors. This corpus will be used to invest in Indian companies. The company's efforts in identifying a prospective target business will not be restricted to a particular industry. We will focus on privately owned businesses within financial services, healthcare, infrastructure and consumer, retail and hospitality sectors," said Mr F. Jacob Cherian, CEO, MIACI.

Speaking of the venture, Mr Nair said, "MIACI wanted good businessmen on its board and after hearing their proposal, I agreed to participate in the company. Such ventures will open several doors of opportunity for Indian companies."

According to the promoters, the selected Indian company will also have an easy route to the US bourses by associating itself with MIACI.

"We are looking for companies with good management track record and robust growth. The target company should have a fair market value (say, at least equal to 80 per cent of its net assets) at the time of acquisition," said Mr Kishore Mirchandani, a Director on MIACI's board. MIACI has 22 months more to spot a viable company and complete the capital transfer processes.

More Stories on : Venture Capital | Foreign Institutional Investors | Stocks

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

Stories in this Section
Dr Reddy's diabetes molecule likely to enter phase-III soon

German Remedies launches inhaler for asthma
Fiat offers enhanced warranty
Jet Airways defers plans to raise $800 m
BHEL bags Rs 1,224-cr UP contract
SAME India to supply 600 tractors to Angola
Alstom group bags Rs 330-cr orders
Viswakarma awards to VSP staff
Mergers of convenience
Independent unattached directors
Rolling stones that will gather moss?

Meet on resolving disputes
Gabriel India to sell Mumbai property
Wockhardt Hospitals to run Rajkot hospital
WPP to acquire Ray & Keshavan
UB plans to invest more on expansion
Hyundai plans new engine plant, R&D centre in India
Chettinad Cement plans plant in TN
India Infoline set for first overseas retail broking foray
Contract workers' stir enters 2nd day at Honda
Maruti, Magma Leasing in pact for car financing
Recruitment co signs MoU with Japanese firm
Ma Foi expands presence in West Asia
US co Active International, AerenR join hands
Leela Ventures chief takes stake in Millennium India
Suven Life gets NABL certification
NTPC sells fly ash to DMRC, IOC, cement majors
Hyundai studies fuel options for Santro
LG Elec India turnover to cross Rs 10,000 cr
Apollo Tyres sees margins improving
Saregama to focus on tech to step up profits
Shah Rukh's new role at Jet AGM
Directors in tricky spots

The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription
Group Sites: The Hindu | The Hindu ePaper | Business Line | Business Line ePaper | Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |

Copyright 2006, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line