Netmagic plans major expansion with Rs 100cr investment

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Netmagic , India's leading carrier-neutral managed IT services provider, as part of its Rs.100 crore expansion plan today announced that it has acquired Rs. 80 crores in private equity funding. This funding was led by the Indian proprietary venture and growth capital arm of Fidelity International Limited (FIL) and Nexus India Capital , India's leading Venture Capital firm. Netmagic will use proceeds of this financing to accelerate business growth and expand its footprint in the domestic and international markets and build a nationwide network of data centers.

 

Netmagic has established a very strong presence in the financial services, telecom, online media and manufacturing verticals, and its wide array of high quality services and a strong customer base gives the company its competitive edge.

 

"This financing demonstrates our investor's confidence in our management team, our strategy and our roadmap," said Sharad Sanghi, Chief Executive Officer and Managing Director, Netmagic Solutions. "Over the last few years, we have built a bluechip client base in the financial, telecom and online trading and travel sectors. This is the right time to invest more aggressively and scale our business to the next level and roll out new locations and services in 2008," he added.

 

"Over the past few years, Netmagic has achieved growth rates of over 70 per cent and gained significant market share in the fast-growing, highly competitive Indian managed hosting services market," said Mr. Raj Dugar, Senior Managing Director at FIL's Indian proprietary venture and growth capital arm. "With a world-class management team, best-in-class systems and processes and solid customer base, we are confident of Netmagic's continued success, and look forward to being associated with the company as it achieves its ambitious growth plans," he added.

 

"Netmagic's leadership position, technology innovation, and high quality delivery has led us to double up on our original investment in the company," said Sandeep Singhal from Nexus India Capital. "This investment reaffirms our commitment to invest in innovative high growth companies in India. With a stronger balance sheet and its unique positioning, Netmagic will emerge as a global provider of choice for mission critical applications in the outsourced data center and remote infrastructure management space," he added.

 

Netmagic's client list includes domestic and global market leaders in Banking and Financial services, Media and Entertainment, ITES, Manufacturing, Hospitality, Travel and Tourism, Education, Telecom, and Government institutions.

 

Sourced From: 20 : 20 Media Pvt Ltd