TA Associates, one of the leading growth private equity and buyout firms, will be opening an office in India within the next six to nine months. The firm, as many buyout funds in India, will be making minority investments in the country. TA Associates was formed in 1968 and has invested in more than 380 companies now. The private equity firm is equipped with a $12 billion capital base and has offices in Boston, Menlo Park and London.
TA Associates is not new to the country. It picked a minority stake in Idea Cellular along with GLG Partners, Sequoia Capital India and ChrysCapital. Also TA Associate’s managing director, Ajit Nedungadi (pictured), was on the board of Idea Cellular. He focuses on recapitalisations, management buyouts and minority equity investments in growth companies India and other emerging markets, besides Europe. He was also on the board of TA Associates-controlled SmartStream Technologies, which Infosys was reported to be eyeing last year. Also last year 3i Infotech acquired J&B Software for $25 million, which was a TA Associates portfolio company.
Last year TA Associates closed a $1.75 billion private equity fund, TA Atlantic and Pacific VI. In 2006, it had closed a $3.5 billion private equity fund and a subordinated debt fund at $777.5 million. TA Associates picks up anywhere around 15% to 90% stake, investing mainly in later stage profitable growth companies.
Its size of investments ranges from $50 million to $600 million in equity and $10 million to $75 million in subordinated debt transactions that value businesses generally from $200 million to $5 billion. The firm backed management buyout of Jupiter Asset Management from Commerzbank AG for Euro 740 million last year.