U.S.-based venture capital firm Battery Ventures plans to invest upto $100 million in Indian companies over the next 3-5 years, a top official said on Friday.
The company manages eight funds worth $3 billion and has a presence in United States, Israel and now India.
It will invest mainly in technology, media and financial companies, General Partner Mark Sherman told Reuters.
Battery will aim for an average return of around 40 percent from each investment, which would be anywhere between $2 million and $50 million, he said.
The company intends to invest in firms engaged in distribution of financial services as well as firms engaged in back-office solutions to the industry. It may also invest in commodity exchanges or in the upcoming power exchange, he said.
In media, Battery plans to invest in print, television, online, cinema and radio firms. “In media, I think India has one of the lowest per capita ad spend in the world,” Sherman said.
The per capita advertising spend in India is around 0.4 percent of the country's gross domestic product while that in the developed world is anywhere between 1-2 percent, he said.
On the technology front, Battery Ventures expects services using mobile technology would grow substantially in India as it has one of the world's largest mobile subscriber base but a low average revenue per user (ARPU).
Source: Reuters