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Deal Alert: Headland Capital invests Rs.40-Cr in Microqual Techno

From the Press Release:

Microqual Techno Ltd. one of India’s leading telecom infrastructure providers has raised growth funding of Rs. 40 crore from a wholly owned subsidiary of The Headland Asian Ventures Fund 3 Limited (HAV3), a fund advised by Headland Capital Partners Limited (Headland) (formerly HSBC Private Equity (Asia) Limited). This is the second round of funding received by Microqual which is a comprehensive infrastructure solutions provider for the Indian telecommunications sector. Its clients include all major telecom carriers.



The funds will be utilised for expansion in Bangladesh, Nepal, Africa & other emerging markets, strategic acquisitions, and implementing newer technologies. The company had secured the first funding in July 2007 from IndoUS Venture Partners, JAFCO Investment (Asia Pacific) Ltd. and BTS India Private Equity Fund.

Ernst & Young India were the exclusive financial advisors to Microqual for this round of Series B funding as well as the Series A round in 2007.

Speaking on the development Mr. Mahesh Choudhary, Founder and CEO of Microqual Techno Ltd. said, “The telecom industry continues to grow at a rapid pace and has a long term potential both in Indian and emerging markets. To be a differentiator in the telecom industry we believe that we have to think out of the box to drive costs down for our clients. We would like to use existing resources for alternate applications which will enable us to continue to redefine competition.”

He added, “We have been able to grow the company from strength to strength by working on the core problems of our customers and designing innovative solutions to address the same. Microqual fully understands the changing needs of mobile operators in an ever increasing price competitive environment and their customer’s need to build and operate networks with optimal investment and yet “go to market” in shortest timeframe.”

James Savage, Partner of Headland also commented on the investment, “Microqual has grown into a leading provider of telecom infrastructure products and services in the Indian market. With some exciting new products and innovative services being launched in India and significant potential to service its customers overseas, we believe that Microqual is well positioned to capitalise on these opportunities.”

Alok Gupta, Partner of Headland based in Mumbai also commented on the investment, “We were attracted to Microqual due to its ability to understand and address the opportunities in the dynamic telecom sector. We look forward to working closely with the management team to realize their business and growth aspirations.”

Since inception in 1999, Microqual has demonstrated rapid growth from being just a component supplier to becoming one of India’s leading total service providers of telecom infrastructure.


About Microqual Techno Ltd.

Microqual Techno Ltd. is a comprehensive infrastructure solutions provider in the telecommunications sector. It manufactures and supplies passive microwave components, radio frequency antennas and cables, in-building solutions materials, tower accessories, electrical and mechanical site materials required for telecom infrastructure installation. The company provides complete lifecycle of services from site implementation, managed services, engineering, procurement & construction and project management. Microqual has three state of the art manufacturing facilities at Aurangabad, Bengaluru and Rudrapur, and a dedicated R&D department at Bengaluru.

For more information, please visit: www.microqual.com

About Headland Capital Partners

Headland Capital Partners Limited, formerly, HSBC Private Equity (Asia) Limited, has been advising private equity and venture capital funds since 1989. Headland endeavours to be a trusted and commercially-minded investment partner for entrepreneurial management teams in Asia and strives to assist these teams to build upon or achieve industry leadership positions for their businesses. The firm believes such partnerships support these companies and their management teams to attain sustainable financial success while delivering attractive returns for its advised funds.

During its history, Headland has advised six private equity and three venture funds, as well as several country-specific funds, with aggregate capital of approximately US$3.4 billion. Current active funds, with committed capital of approximately US$2.4 billion, include: The Headland Private Equity Fund 6 L.P., The Headland Private Equity Fund 3 Limited, The Headland Asian Ventures Fund 3 Limited, and The Headland Asian Ventures Fund 2 Limited. Funds advised by Headland have invested in more than 140 companies located primarily in Greater China, India, South Korea and Southeast Asia.

For more information, please visit: www.headlandcp.com

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