India Equity Partners Buys APIDC VC’s Stake In Ocean Sparkle
Private equity fund India Equity Partners (IEP) has picked up an undisclosed stake in Ocean Sparkle lTD, a Hyderabad-based port management company, for $18 million, reports The Economic Times. IEP has bought the stake held by APIDC Venture Capital in the company, which, according to ET, is probably at a valuation of $100 million. The founders of the company had the first right of refusal to buy the stake from APIDC Venture Capital, but did not exercise the right since the valuation was “high”.
APIDC VC had invested in the company about 10 years ago. It’s not clear what are the returns of APIDC VC from the deal.
IEP is a $300-million private equity fund. Ocean Sparkle, set up in 1995 by a group of marine professionals, is involved in port infrastructure operations and management. The closely-held company had sales of Rs 120 crore and net profit margins of 25 per cent in 2006-07, according to ET.
05/31/07, 2:40 PM |
who were the adivisors
06/1/07, 4:46 AM |
Before the close of the deal, I had asked one of the fund managers at IEP… “How come a port management company in a non-port city of Hyderabad?”
He said even they had asked the same thing to the company and there came the response: “The company operates in Kakinada and Paradip ports. And, Hyderabad is equi-distant from both of them. So, the location of Hyderabad!”
So, logistically well located logistics company!