Broadband and cable TV access provider Atria Convergence Technologies Pvt Ltd (ACT) has secured an undisclosed amount in structured debt from Olympus Capital Asia Credit (OCA Credit) and Kilimanjaro Netherlands BV, a subsidiary of Kilimanjaro Credit Fund.
This is the first investment by OCA Credit and Kilimanjaro in India. Asia-focused OCA Credit offers lending solutions to mid-sized corporations in Asia Pacific.
Bangalore-headquartered triple play service provider Atria Convergence Technologies operates in the states of Andhra Pradesh, Karnataka and Tamil Nadu. Its services include digital TV, cable TV and IPTV and it currently claims over one million subscribers.
In 2008, India Value Fund Advisors (IVFA) acquired majority stake in the company.
Nitish Agarwal, chief investment officer at OCA Credit, commented, “ACT has executed its plan very well over the past few years to become a leading market player in its core areas. We are very pleased to support ACT with its growth strategy to further develop the internet broadband infrastructure in the country.”
“Broadband penetration level in India is still very low, when compared globally, and the industry would require significant capital infusion in the last-mile broadband network to be able to provide Indian consumers a high quality broadband service. ACT is among the leading players in this industry and the proceeds of this transaction will enable it to consolidate its shareholding and scale up the business,” according to Navneet Singh, executive director and head – infrastructure group, Avendus Capital. Avendus Capital was the sole financial advisor to ACT for this transaction.
(Edited by Joby Puthuparampil Johnson)