Indian SMEs to invest in UK and European businesses

In the wake of a double dip recession fears hitting UK and European businesses hard, India is reaching out to help cash starved companies in UK and Europe. India’s leading companies are looking out for opportunities to invest in UK and Europe in Industries such as Manufacturing, Hospitality, Real Estate, Food Processing, Industrial equipments and infrastructure.

“UK and European businesses have seen the bottom during 2008-2009 and are still struggling to find consumer demand for good prospects. The distressed environment has given opportunities for Indian SME companies to collaborate with UK and European businesses on the merger and acquisition front, provide the enough cash to sustain and also provide access to the products in the vast consumer market of India and other emerging nations.” said Atul Khekade, founding partner of Netz Capital Advisors LLP.

“Netz Capital itself has been mandated by over 100 companies to find attractive investment opportunities in UK and Europe. The companies will be investing over $10 billion in the UK and Europe businesses in the next 5-7 years, a recovery time for these economies.” added Mr. Khekade.

“Many Indian businesses are cash rich at the moment. India is perhaps one of the best emerging markets right now that is growing and to tap it’s vast consumer market, Indian companies need competitive technologies and alliances that help them increase their market share in Indian markets as well as entering other global markets. We see that a lot of Indian business investors will be going global in the next 10 years ” said Mr. Raman, chairman of SME confederation in India.

“UK and European businesses are facing the heat of a double dip recession and the whole infrastructure and technology created by the companies is in financial trouble due to the lack of consumer confidence in the local UK and European markets. At such a crucial time, there can be a mutual platform through which cash rich Indian companies can invest into UK and European businesses through a mode of JV/acquisition or a merger for a mutual benefit. The acquired technologies and infrastructure will help Indian companies widen their market share in India and also go global with the use of cutting edge technology. European and American businesses would greatly benefit through much needed cash that helps them survive the time.”

“Earlier only a select few companies had access to finding opportunities for overseas acquisitions, Bharti’s acquisition of Zain was one of the very big deals in Indian history. But now, even small and mid-cap companies are knowing the importance of going global and reaching out for overseas businesses to invest. This will improve the bi-lateral trade between UK Europe and India.” said an economic advisor to Govt. of India who requested anonymity.

About Netz Capital

Netz capital is a private equity fund advisory focused on real estate and infrastructure backed business models supported by technology. Netz capital focuses on emerging markets, companies and industries globally. Netz Capital has portfolio worth $50 million and is currently advising transactions worth $2 billion.

For more information, visit http://www.netzcapital.com

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