CASE STUDY OF INVESTOR VENTURE CAPITAL SCHEME 2000
The Structure
I-Nestor Venture Capital Scheme 2000
Fromed under the Indian Trust Act, 1882
Registered with SEBI
Trustee - I-Nestor Trustee Co. Pvt. Ltd.
Board of Directors of I-Nestor Trustee Co. Pvt. Ltd.
- Mr. K R V Subramaniam
(Ex - Vice - Chairman and Managing Director - Colour Chem Limited)
Assocham's representative on SEBI's advisory committee on primary market.
- Mr. R.K. Kulkarni
Senior Partner - Little and Company, one of India's leading solicitor firm.
- Mr. P.R. Bagchi
(Ex- Managing Director, SBI Capital Markets Limited)
Ex-Deputy Managing Director, Treasury and Investments - SBI)
Objectives of The Scheme
Take advantage of the investment opportunities in the new economy
Investment in India centric companies
Investment focus on high growth segments in the new economy
IT, Internet, Media and Life Sciences including Food, Medicine and healthcare
Will not invest in companies in the real estate, cyclical or commodity industries.
Achieve above average capital appreciation for the investor by
Value adding the activities of the portfolio companies and increasing their
chances of success with the knowledge, insight and networks of the manager and their advisors
Investment primarily in the seed and early stage which give the best opportunities for leveraging the above capabilities of the manager and their advisors
Providing a specialized setup with a high degree of involvement of the manager
Offer an investment exposure that is typically not available to most investors
Investment primarily in unlisted companies at the early stage
Give investors an opportunity to reduce risk by investing in a diversified portfolio of new economy companies
No more than 25% of the corpus to be invested in any one company. However, it is intended that investments in one company would normally not exceed 10% of the corpus
Funds Value-added Activities
The fund would typically provide guidance and expertise as needed and requested by the portfolio companies in the following ways:
Identifying and recruiting key members of the management team
Reviewing product, service business and financial strategies
Providing contacts and introducing companies to corporate and strategic partners
Raising needed capital through private and public markets
Establishing a framework for good corporate practices
However, not to involve itself in the day to day workings of the portfolio companies
The Structure
I-Nestor Venture Capital Scheme 2000
Fromed under the Indian Trust Act, 1882
Registered with SEBI
Trustee - I-Nestor Trustee Co. Pvt. Ltd.
Board of Directors of I-Nestor Trustee Co. Pvt. Ltd.
- Mr. K R V Subramaniam
(Ex - Vice - Chairman and Managing Director - Colour Chem Limited)
Assocham's representative on SEBI's advisory committee on primary market.
- Mr. R.K. Kulkarni
Senior Partner - Little and Company, one of India's leading solicitor firm.
- Mr. P.R. Bagchi
(Ex- Managing Director, SBI Capital Markets Limited)
Ex-Deputy Managing Director, Treasury and Investments - SBI)
Objectives of The Scheme
Take advantage of the investment opportunities in the new economy
Investment in India centric companies
Investment focus on high growth segments in the new economy
IT, Internet, Media and Life Sciences including Food, Medicine and healthcare
Will not invest in companies in the real estate, cyclical or commodity industries.
Achieve above average capital appreciation for the investor by
Value adding the activities of the portfolio companies and increasing their
chances of success with the knowledge, insight and networks of the manager and their advisors
Investment primarily in the seed and early stage which give the best opportunities for leveraging the above capabilities of the manager and their advisors
Providing a specialized setup with a high degree of involvement of the manager
Offer an investment exposure that is typically not available to most investors
Investment primarily in unlisted companies at the early stage
Give investors an opportunity to reduce risk by investing in a diversified portfolio of new economy companies
No more than 25% of the corpus to be invested in any one company. However, it is intended that investments in one company would normally not exceed 10% of the corpus
Funds Value-added Activities
The fund would typically provide guidance and expertise as needed and requested by the portfolio companies in the following ways:
Identifying and recruiting key members of the management team
Reviewing product, service business and financial strategies
Providing contacts and introducing companies to corporate and strategic partners
Raising needed capital through private and public markets
Establishing a framework for good corporate practices
However, not to involve itself in the day to day workings of the portfolio companies