Sequoia Capital India continues to cherry pick stocks from the open markets. The venture and growth capital investor has picked up a 6.8% stake in eClerx Services Ltd from open markets for around Rs 43 crore. eClerx was one of the first Indian knowledge process outsourcing firms
to go for an IPO and was listed in 2007. The company provides data analytics and data process management services to the retail, manufacturing and financial services industries.
The stake has been picked up from Burwood Ventures, an investment firm based in Virgin Islands which invested in 2005. Burwood held a 17.49% stake in eClerx as of June-end, 2009. The stake was picked at a share price of Rs 330, near its 52-week high of Rs 340. eClerx reported FY09 revenues of Rs 193.2 crore as against Rs 128.3 crore in the corresponding period last year. The profits after tax for the year stood at Rs 61.8 crore.
Sequoia Capital India has been aggressively picking up stakes in companies from open market. Sequoia’s managing director Sumir Chadha told Mint in June that the firm had invested in seven listed companies between October and February 2009, picking up stake from open markets. The investments have been made from Sequoia’s first growth fund, whose size was $400 million.
It invested $9.3 million in Hyderabad-based Nagarjuna Construction Co. Ltd, and exited the investment at $22.3 million when the markets bounced since May. Sequoia has also invested in Info Edge Ltd, the owners of Naukri.com. The other five public markets investments are not known as they have been made using participatory notes.