Allied Digital Services Ltd. (Allied), a leading Indian IT services and solutions company, has signed an investment agreement with Intel Capital under which the corporate venture capital player will buy warrants in the firm. The parties expect allotment of the warrants to take place later this year following receipt of regulatory approvals and satisfaction of other customary conditions. The financial details were not disclosed.
Intel Capital is the corporate venture capital arm of chipmaker Intel Corporation. Intel Capital, which has invested more than $7.5 billion in approximately 1,000 companies, has majority of investments in typical IT and IT related companies in India.
In 2010, Intel made 3 investments worth $23 million in India such like Multi Commodity Exchange of India Ltd, July Systems Inc., an application software company and KLG Systel Ltd, an IT consulting firm. In 2005, Intel launched Intel Capital India Technology Fund, a $250-million india focused fund, based out of Bangalore.
According to VCCedge data, about 233 PE deals worth $5.4 billion took place in Indian information technology space since 1997.
“We believe that enterprise remote infrastructure management segment is positioned attractively for tremendous growth over the next several years. Allied Digital is one of the technology leaders in this space and this investment enables Intel Capital to further enhance the technology adoption worldwide, in the enterprise space”, said Sudheer Kuppam, Managing Director, Intel Capital Asia Pacific.
Commenting on the development, Mr. Kevin Schatzle, President of Allied Digital, LLC in USA said, “We are pleased by the fact that the Strategic Investment in Allied Digital by Intel Capital validates our approach to Remote Infrastructure Management and Cloud based delivery of I.T. services, leveraging Intel technologies.”
Allied Digital, through its subsidiary Allied Digital Services LLC in USA is currently integrating Intel’s latest generation of intelligent business platforms to take advantage of the virtualization and
automation features of Intel vPro Processor technology, offering remote IT asset management that minimizes desk side visits while enhancing security and customer productivity, said a statement.
