VCCircle

Exclusive: Promethean India Fund, the Indian investment arm of the UK-based private equity fund Promethean Investments, is upping its activity in India. The $115 million India fund has so far invested in two Indian companies - Mahindra Forgings and Nitco Tiles - and is in the process of closing two other investments. Burman said they are closing a $10 million investment round in mobile payment company Obopay (in its Indian arm), in which Promethean's contribution will be $5 million. The remaining will come from other investors. Promethean is already an investor in Obopay US. The firm is also closing its fourth investment in India of which details are not yet available.
In an interview to VC Circle, Gaurav Burman, Partner, Promethean Investments, said that the firm has already invested a 40 per cent of its current fund. They are likely to exhaust the remaining potion of the fund by end of Q2 2008. They will look at raising another fund around this time. That will be a larger fund.
Burman said they have picked up an 8.5 per cent economic interest in Nitco Tiles, a listed company that makes tiles for homes. This deal would be worth about Rs 25-30 crore ($6.25-7.5 million). Burman is joining the board of the company. Earlier, Promethean had invested $12.3 million for a 10 per cent stake in Mahindra Forgings Mauritius Ltd. Gaurav's elder brother Mohit, a scion of the Burman family of Dabur India, has joined the board of Mahindra Forgings as part of the investment.
Burman said that they are an active investor and will want to have a influence in the management of the company. They will also seek a board position as part of the investment.
In all the India investments, the Burman family of Dabur has co-invested along with Promethean India through a co-investment vehicle. Promethean India was floated in April this year, while its parent, UK's Promethean Investments, was founded in 2005. It's listed in London Stock Exchange's Alternative Investment Market. Sir Peter Burt, the former chairman of ITV, is the chairman of Promethean Investments UK and India. The fund has investors like Bank of Scotland and several family houses. Promethean India has offices in Delhi and Mumbai. London-based Burman spends at least 10 days of a month in India.