We are actively following India's largest telecom M&A deal through on the ground industry experts.

$10B + Global Hedge Fund

Public information, when pieced together from buyers and supplier of the target company we were researching, gave us the investment edge we were looking for.

India Focused Fund

Insight Alpha provides institutional investors access to a network of frontline industry experts thereby adding critical information to our clients investment decision process. Insight Alpha is dedicated to helping investors explore the detailed assumptions and catalysts of their investment thesis with an actively managed network of knowledgeable industry specialists.

US investment in Vietnam tops $11 billion with 735 projects countrywide

Investors from US are now present in almost all industries in Vietnam and have so far pumped more than US$11 billion into the Southeast Asian country, the Foreign Investment Agency (FIA) stated. American businesses are participating in 17 out of 21 industries in Vietnam, with most of their investment channeled into hospitality.

As of March 20, there were 735 active U.S.-invested projects, with a total registered capital of around US$11.06 billion, in Vietnam, according to the report. This ranks the U.S. seventh out of 101 countries and territories that have had operations and production in the Southeast Asian country so far.
Seventeen of these projects are in hospitality, with a total registered capital of $4.68 billion, or 42.3 percent of the total figure, according to the FIA.
The manufacturing and processing industries take the lead in terms of the number of projects, 323. These projects are worth $2.24 billion collectively, accounting for 20.3 percent of the U.S. total investment in Vietnam.
The largest U.S.-invested project in the country to date is that of Winvest Investment (Vietnam) Co. Ltd., which was licensed in 2006 to develop a $4.1 billion resort-hotel-entertainment complex in the southern coastal province of Ba Ria-Vung Tau, according to the report.
Ba Ria-Vung Tau is also where U.S. investors are running the biggest projects among 42 Vietnamese provinces and cities where American businesses are present. The province, some 100km from Ho Chi Minh City, is now home to 18 projects, collectively worth $5.3 billion, nearly half of the total figure.
The northern city of Hai Phong and southern Binh Duong Province come second and third, with $1.2 billion and $780.6 million in registered capital, respectively.
Most of the American projects in Vietnam, or 599 to be exact, are 100 percent U.S. invested, whereas 111 others are in the joint venture form. These two kinds of investment have a total registered capital of nearly $8.27 billion and $2.6 billion, respectively.
The average scale of an American project in Vietnam is $15 million, higher than the average of the foreign-invested sector of $14.3 million, according to the FIA.
In the first quarter of this year alone, the U.S. had eight newly-registered projects and increased investment for two existing ones, with inflows in both cases aggregately estimated at nearly $70 million.
Thirty-three countries and territories invested in Vietnam in the three-month period, and the U.S. stood at the seventh place.
IndiaMART in talks with big investors to raise funding for Tolexo

IndiaMART InterMESH Ltd, which runs an online B2B platform for small and medium businesses connecting global buyers with suppliers under the brand IndiaMART, has initiated talks to raise as much as US$200 million for its recently launched property Tolexo, which enables online transactions. IndiaMART has put in initial capital of around Rs 100 crore to build Tolexo. The company is confident that Tolexo’s revenue would equal that of its parent in two years.

IndiaMART InterMESH Ltd, which runs an online B2B platform for small and medium businesses connecting global buyers with suppliers under the brand IndiaMART, has initiated talks to raise as much as US$200 million for its recently launched property Tolexo, which enables online transactions. 
It could not be immediately ascertained if the funding would be routed through the parent company or through Tolexo Online Pvt Ltd, a part of IndiaMART, which runs the website.
The group has had early conversations with a few prospective investors.
When contacted, Brijesh Agrawal, co-founder of IndiaMART and CEO of Tolexo, refused to confirm names but said he is in talks with 10-12 “large investors”.
Another source cited above said, the plan is to raise funds from two-four large investors within 12 months.
Tolexo was launched in August last year and is aggregating demand from construction, manufacturing, laboratory and hospitality companies, primarily for industrial goods.
An extension of its 19-year-old parent IndiaMART, Tolexo is growing its transactions 60 per cent month-on-month, according to CEO Agrawal, who refused to share details of the transaction.
It competes with other B2B focused e-com sites such as Industrybuying.com, which is seed-funded by SAIF Partners and Mogli Labs.
It is learnt that several others are also catering to demands of specific industries such as construction, labs and industrial goods.
Globally, Amazon launched its wholesale e-com property AmazonSupply three years ago. This came two years after Alibaba launched a new site for B2B e-com under 1688.com.
Tolexo is looking to bring online B2B transactions which are still done the traditional way.
Early this year, it roped in Harsh Kundra as co-founder and head of product and technology. Kundra was previously CTO at Rocket Internet-backed lifestyle e-tailer Jabong.com. Prior to that, he was a founding-member at Info Edge-backed Meritnation.com, where he oversaw product design and management.
Tolexo is leveraging the existing buyer and seller networks that the group has acquired and claims to have built a collection of over 5 lakh products in a span of six months, and at the current growth rate, it will have 5 million products by 2015-end.
Backed by Intel Capital and Bennett, Coleman & Company Ltd (BCCL), IndiaMART offers products that enable SMBs to generate business leads and use business information (finance, news, trade shows, and tenders, etc.). While IndiaMART is essentially a B2B platform that connects global buyers with suppliers, Tolexo.com is an online retail marketplace that enables transactions between the two.
Tolexo.com is a subsidiary of IndiaMART but also counts Navneet Rai, co-founder, Inkfruit.com (merged with private label fashion e-tailer Zovi.com back in 2013), as a co-founder.
The firm has set an ambitious target to achieve $1 billion gross merchandise value by 2017 and $10 billion by 2020.
IndiaMART was styled like India’s Alibaba. However, while Alibaba ventured into B2B and B2C online commerce space and scaled up to become the world's largest online seller, IndiaMART confined itself to matching buyers and sellers.
In the B2C space, it has seen ventures like Flipkart and Snapdeal, among others, build a large business and command high valuations. IndiaMART is now trying to get at least some of the action and investors money.
According to Agrawal, the timing is now right to enter into online B2B e-com business as the B2C e-com space has triggered the right momentum. He notes that a certain traction in B2C e-com is essential to push through B2B e-com.
He is confident that Tolexo’s revenue would equal that of its parent in two years. Agrawal says IndiaMART posted Rs 210 crore revenue during 2013-14 and for the year ended March 31, 2015, it generated sales in excess of Rs 290 crore.
(Source: VC Circle)
More News
New user Sign up here !!
Forgot password?
Contact Insight Alpha
Describe your consultation request *
Your email address *
© Copyright Insight Alpha. All Rights Reserved
Home | About Us | Privacy Policy | Terms and Conditions | Contact Us