Siemens Venture Capital set to make India debut

Siemens Venture Capital (SVC), the 700 million Euro corporate venture funding organisation from the Siemens AG stable, is understood to be set to debut in India. This is in line with other globally-reputed names deciding to invest in Indian companies, according to informed industry sources who declined to be named.

A spokesperson for Siemens India while not confirming this, said, "To date, SVC has invested in start-up companies and venture capital funds mainly in the US, Europe and Israel. SVC is located in Germany, in the US and is active through Siemens' regional units in Israel and China. As part of its ongoing activities, SVC is continuously evaluating opportunities across the globe, including attractive emerging markets like India."

An industry analyst anticipating the development said, "Close to $2.2 billion was invested as venture capital and private equity in India in 2005 and this is expected to turn into a gallop in 2006. In addition to this, investments in Indian companies are paying off healthily and it will not be a surprise if more and more funds come calling on India."

SVC identifies and funds investments in emerging and innovative technologies that will enhance the core business scope of Siemens, particularly in information and communications, automation and control, medical solutions, automotive technology and transportation systems, power and lighting.

Siemens has so far invested in over 100 companies and 30 venture capital funds through its four funds --Communication Funds, Medical Solutions Funds, Corporate Funds besides the Fund-of-Funds, which invests indirectly through other VC funds.

It is also learnt that Siemens might look at setting up a direct Indian presence with a focused India fund, though this was not confirmed by the company. According to SVC, it is interested in funding companies at the initial stages and its investment will range between 0.5 million euros and 5 million euros.