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Strategies & Market Trends : India Coffee House -- Ignore unavailable to you. Want to Upgrade?

To: Mohan Marette who wrote (9779)	11/25/1999 12:10:00 PM
From: Mohan Marette	Respond to of 12475

Chase to take 30% stake in Microland for $6.4 million. microland.net Current Investors in Microland microland.net (Thursday, November 25, 1999-bs) Surajeet Das Gupta & Bipin Chandran in New Delhi Indocean Network Services Ltd, a Mauritius-based subsidiary of Chase Asian Equity Associates, is acquiring 30.09 per cent equity in Microland Ltd by infusing Rs 28.2 crore ($6.4 million) into the Bangalore-based information technology (I T) company. The equity of the promoter, Pradeep Kar, will come down to 67.22 per cent, while the rest will be with non-resident Indians. At present, Pradeep Kar holds 94.86 per cent of the equity with the rest in the hands of NRIs. The Foreign Investment Promotion Board has approved the equity restructuring plan of the company. The amount of Rs 28.2 crore being pumped in by Indocean Network represents 36.57 per cent of Microland's equity. However, the company is issuing 500,000 warrants to the Indian promoter which can be converted into equity at Rs 121 per share. Pradeep Kar is exercising the option of converting the warrants into equity, thus bringing down Indocean Network's equity holding to 30.09 per cent in the enhanced equity capital of the company. The company is also issuing two sets of warrants to employees, who are Indian residents. The first set -- Option Series A -- is being issued at Rs 70 a share while Option Series B is being issued at Rs 121 a share. The board of directors of Microland had earlier approved the subscription up to 40 per cent of the paid up equity share capital of the company by overseas investors. The investment by the company will be used by Microland to invest in capital expenditure and to sustain market development efforts. Microland, established in 1989, plans expanding international presence targeting web service company start ups, vertical portals, emerging application service providers and technology companies in the US and other international markets with the complete range of software and service offerings. Operating in major Indian cities with over 500 professionals, Microland has recently opened offices in the US and has partners in the Middle East and Australia. Microland's clients include e-service companies, major financial institutions, dotcom companies as well as large corporations. Chase Asian Equity Associates is a wholly owned subsidiary of Chase Capital Partners, a global equity organization with approximately $ 8 billion under management. Since its inception Chase Capital Partners have invested in more than 700 companies across the world. Chase Global Partners' sole limited partner is Chase Manhattan with assets totaling approximately $ 366 billion.