Mayfield Fund is building its team in India

Mayfield Fund, which has $2.6 billion under management with investments in high growth companies in the U.S., China and India, announced the addition of Nikhil Khattau and Vikram Godse to its India investment team based in Mumbai, as reported by Finance Asia.

This follows the fund's two direct investments in the past six months in India in Tejas Networks and the Seed Fund. Mayfield's activities in India are being led by the U.S.-based Managing Directors Navin Chaddha and Robin Vasan.

Khattau was earlier the founding chief executive of Sun F&C Asset Management, one of India's first private-sector asset managers, which is now part of the Principal Financial Group.

Godse was a founder of JM Financial Investment Managers, an Indian private equity fund. Before that he worked in India for the investment unit of Cisco and for Infinity Venture Capital, one of India's first venture capital firms.

Mayfield will focus on investments in the consumer services (retail, entertainment and travel), infrastructure (power, roads, buildings and waste disposal), manufacturing and offshore sectors in the country.

Mayfield Ventures to invest $15 mn in domestic i-bank Avendus Advisors

Mumbai-based investment bank Avendus Advisors has received a private equity investment of around $15 mn, for a stake of 20%, from US-based venture capital fund Mayfield Ventures. The fund is being infused as fresh equity, and the term sheets would be signed in a week’s time. Other details of the deal have not been disclosed. Avendus, founded in 1999, has been valued at around Rs. 330 crores. Before the equity sale, the three initial promoters, Ranu Vohra, Gaurav Deepak and Kaushal Aggarwal, and the employees of Avendus held around 70% stake, while Spanish institutional investor Americorp held 20% and entrepreneur-investor from California, Anil Godhwani held the remaining 10%. Once the deal is finalized, there will be corresponding reduction in the stake held by each promoter.

Mayfield has already partnered Avendus to raise a $200 mn offshore fund which would invest in Indian projects, and is expected to be set up by July-August. Avendus has seen a strong growth over last couple of years. Its annual revenues are expected to cross $12 mn in 2006-07. The organisation employs approximately around 40 professionals.

The investment bank focuses on wealth management, institutional broking and debt solutions. It is also offering private equity syndication, advice on M&As, and strategic advisory services to corporates and funds. It is now in the process of expanding its operations abroad by opening offices in New York and Munich. Avendus focuses on industries where Indian companies have a strategic growth advantage including IT services, IT-enabled services, pharmaceuticals and healthcare, media and consumer products and services. The most recent deal cracked by Avendus was to help AnandRathi Securities to dilute around 20% stake in favour of CVC International, for around Rs. 100 crores (See Related Post).

Read The Economic Times article.
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Avendus Advisors to divest 20% stake to Old Lane and Mayfield Ventures
Avendus Advisors forms $200 mn PE fund with Mayfield Fund; to invest in the outsourcing sector

Avendus Advisors forms $200 mn PE fund with Mayfield Fund; to invest in the outsourcing sector

Domestic investment bank Avendus Advisors will invest in the outsourcing sector in knowledge-oriented and outsourcing companies in the areas of legal processes, financial services and equity research. The boutique bank will invest out of its $200 mn fund which was formed in December 2006 in association with US-based venture capitalist Mayfield Fund. Avendus is still tying up the finances.

Investments will be done in companies with revenues of Rs. 80 crores to Rs. 100 crores and with a track record of 3-5 years.

Avendus is also advising on mergers and acquisitions for software technology and auto component companies. It has recently announced a tie-up with European investment bank and management consulting outfit goetzpartners (See Related Post).

Read The Financial Express article.

Mayfield Fund to invest in Tejas Networks as well as venture capital firm Seedfund

Silicon Valley-based venture capital firm Mayfield Fund has invested an undisclosed amount in Tejas Networks, a provider of next-generation optical networking products for global markets and in Seedfund, a seed stage technology venture capital firm.

Although Mayfield has in the past invested in companies whose development centers are in India, as well as in the off-shoring activities of portfolio companies, this announcement marks the venture fund's first direct foray into an Indian company. Mayfield Fund is one of the names which has been making the rounds in investment banking circles as one of the potential investors in boutique i-bank Avendus Advisors (See Related Post).

Read the Business Standard article.

Avendus Advisors to divest 20% stake to Old Lane and Mayfield Ventures

Hedge fund Old Lane Partners and venture capital firm Mayfield Ventures may buy around 20% stake in leading boutique investment bank Avendus Advisors for a sum of Rs. 80 crores. This puts the valuation of the bank at around Rs. 400 crores. Avendus is expected to gross annual revenues of $12 mn in 2006-07. The organization has grown from 16 professionals to 40 in 2006.

Avendus was founded in 1999 by Ranu Vohra, Gaurav Deepak and Kaushal Aggarwal. They and employees of Avendus hold around 70% of the bank’s equity stake. Americorp, a Spanish institutional investor, holds 20% and the rest is held by Californian entrepreneur-investor Anil Godhwani. A minority stake earlier held by Infinity Venture, a venture capital fund, had been bought back by promoters around 2 years back.

Recently, Avendus has inducted two senior officials as vice presidents. Kishore Srinivasan, former joint GM and Head, Closely Monitored Assets (CMA) at ICICI Bank, joined Avendus as vice president and is now heading its corporate debt services. Also, Rajiv Shukla, former director, business development, at Pfizer, has joined Avendus as vice president, heading its life science vertical. Mr. Shukla is known to have played a leadership role on 5 acquisitions at Pfizer totaling $63 bn. Just a couple of days ago, Avendus was in the news for the exit of some of its high-profile employees, notably, Deepesh Garg, Assistant Vice-President, Consumer Products and Services Team, and Shiraz Bugwadia, Assistant Vice-President, Pharmaceuticals and Healthcare.

Avendus focuses on wealth management, institutional broking and debt solutions. It offers private equity syndication, mergers & acquisitions (M&A), and strategic advisory services to corporates and funds. Currently, it is in the process of expanding its operations abroad by opening offices in New York and Munich.

Read The Economic Times article.
Related Post: Key senior people exit Avendus Advisors to float boutique investment bank