Srei Infrastructure Finance acquired a 76 per cent stake in Hyderabad Information Technology Venture Enterprises Ltd, a venture capital outfit.
The venture capital firm was set up in 2000 jointly by the Andhra Pradesh Development Corporation, the Andhra Pradesh Industrial Infrastructure Corporation and the Small Industries Development Bank of India. The exact amount of the deal could not be known.
The Hyderabad firm floated its first fund with an initial corpus of Rs 15 crore. It came out with a second fund of Rs 50 crore. After the shareholders’ approval, Srei will pick up a 51 per cent stake in the initial fund and another 25 per cent in the second.
Hemant Kanoria, vice chairman and managing director of Srei, said the corpus of the fund would be hiked to promote investments in Andhra Pradesh. The firm invested Rs 12 crore in seven IT companies from the first fund.(The Telegraph)