Carlyle Group has made two rounds of funding in Newgen Data Works in 2004 and 2014
It’s trying to promote its 55% stake within the Newgen for $40 Mn to founder and CEO Prabhakar Ram
The US-based non-public fairness agency has invested greater than $2.5 Bn in India as of March 31, 2020
US-based non-public fairness agency Carlyle Group has reportedly exited its six-year-old funding in Chennai-based outsourcing agency Newgen Data Works by promoting 55% stake to the corporate’s founder and CEO Prabhakar Ram for about $40 Mn.
Carlyle Group has made two rounds of funding in Newgen Data Works, and the newest spherical will mark its second exit from the corporate. It had invested about $10 Mn in Newgen again in 2004. It later bought the stake to a consortium of three funds for $30 Mn in 2011.
Then in 2016, Carlyle Group acquired the stake held by Franklin Templeton Non-public Fairness Technique, Aureos South Asia Fund and ePlanet Capital in Newgen for $33 Mn. The corporate will now be promoting these stakes for $40 Mn. Funding financial institution Veda Advisors had been appointed for working the stake sale course of.
The event was first reported by Financial Instances, however a Carlyle spokesperson declined to touch upon it. Prabhakar Ram has not responded to the report.
Newgen was based in 1996 by Ram. It presents publishing and technical companies for books and journals, similar to content material sourcing, content material creation, venture administration, creator liaison, growth modifying, copyediting, design, art work and permissions, cell app distribution and discoverability options, amongst others.
The Chennai-based firm caters to the pre-press publishing wants of books and journal publishers within the UK, US and Europe. Its shoppers embody Wolters Kluwer, Oxford College Press, Thomson Reuters, Peter Lang, Taylor & Francis and Bloomsbury.
Carlyle has been aggressively betting on Indian firms for the final couple of years and has invested greater than $2.5 Bn in India as of March 31, 2020. Earlier in June, the Washington-based non-public fairness agency dedicated to speculate about $235 Mn (INR 1774 Cr) for a 25% stake in Bharti Airtel’s knowledge heart enterprise Nxtra Knowledge at a post-money valuation of $1.2 Bn.
Commenting on the deal, Neeraj Bharadwaj, managing director of the Carlyle Asia Companions advisory staff, has mentioned, “India is about to change into one of many largest markets on the earth for digital companies. Airtel, with its confirmed monitor document of stable execution and buyer focus, is well-positioned to leverage the potential development of knowledge centres in India. We stay up for collaborating with Airtel to unlock the total potential of Nxtra.”