Aksh Optifibre, the Gurgaon-based optical fibre manufacturing firm, has completed preliminary talks with strategic investors for raising $40 million.
Lines up $40m deal; setting up set-top box unit in Rajasthan
MUMBAI: Aksh Optifibre, the Gurgaon-based optical fibre manufacturing firm, has completed preliminary talks with strategic investors for raising $40 million.
Sources said the company may sell a minority stake to an overseas telecommunications firm to fund its Rs 200 crore IPTV (Internet protocol television) expansion plan across the country.
Kailash Choudhari, managing director, Aksh Optifibre said, “We are looking at various modes of raising capital. There are discussions with strategic investors. We are also considering minority stake dilution.”
Aksh will also start making set-top boxes in India this year to tap the rising demand and rollout of conditional access system (CAS) television.
It is setting up a 50 acre facility in in Rajasthan to manufacture STBs.
It would expand Internet Protocol Television (IPTV) operations to other metros in next couple of years.
The company has launched IPTV in Delhi and VoIP in association with MTNL in Delhi and Mumbai.
An analyst with a domestic brokerage, who did not wish to be named, said AKsh’s expansions plans require significant amount of capital infusion.
“Diluting stake is an adequate option to fund growth to the next level,” he said.
While net telephony, or voice-over-internet protocol is expected to give Aksh immediate revenue gains, the IPTV cash flows are more gradual because Indian consumers take time to mature, said another analyst with a foreign brokerage.
Aksh recently wrapped up a foreign currency convertible bonds issue. It had also raised Rs 35 crore through a public issue in August 2000, to finance the expansion of optic fibre capacity.
Aksh produces variety of cables such as single-mode, multi-mode, duct, armoured, aerial, indoor and outdoor. It also has facilities to produce ribbon fibre optic cables.
Aksh was among the first companies in India to set up its own fibre optic-manufacturing units.
In 2000, it changed focus to manufacturing optic fibre and optic fibre cables and hived off its copper division.
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
)
){kind=small}
){kind=small}
)
)
)
)
)
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}