OCP Asia and Network18 invest $15 mn each. The later will continue to be the majority shareholder with 51% stake in HomeShop18
BestMediaInfo Bureau | Delhi | April 12, 2013
Network18 Media & Investments Ltd (Network18) has announced that OCP Asia (OCP Asia) has entered into an agreement to invest $15 million in its virtual commerce business, HomeShop18. Network18 will also invest a similar amount in the company. Network18 will continue to be the majority shareholder (51 per cent plus) in HomeShop18.
HomeShop18 launched Indiaâ€™s first 24-hour home shopping TV channel in 2008. Today, it provides an integrated virtual shopping experience on internet, television and mobile through HomeShop18.com and the HomeShop18 24x7 channel. HomeShop18 has over the years built an impressive portfolio of over 12 million SKUs across multiple product categories and a logistical reach of over 3,000 locations across India. It is one of Indiaâ€™s fastest growing virtual commerce companies with revenues more than doubling over the last year.
OCP Asia is one of the top 25 hedge fund managers in Asia as ranked by the Asia Hedge Fund 25 Ranking published by Institutional Investor. OCP Asia was established in September 2009 by Stuart Wilson and Teall Edds, hedge fund managers with 40 years of combined investment and risk-management experience in Asia.
Raghav Bahl, Managing Director, Network18, said, â€śHomeShop18 has rapidly grown into one of Indiaâ€™s leading virtual commerce destinations. It is gratifying to see the value built up in the business over the relatively short period since the company was founded. We welcome OCP Asia as they join SAIF Partners, GS Shop and us in building out the business.â€ť
Sai Kumar, Group CEO of Network18, added, â€śWe believe HomeShop18 is well positioned to take advantage of the impending digital boom in both the TV and internet segments. In addition, it is encouraging to see that the ecommerce sector is now focusing on profitable growth as the customer acceptance of the proposition grows.â€ť
Announcing the transaction, Sundeep Malhotra, CEO, HomeShop18, said,Â â€śWe have made significant strides at HomeShop18 over the past couple of years and have emerged as a leader in the Indian virtual commerce space. We are now on the throes of our next phase of growth, and we believe OCP Asiaâ€™s investment will help put us on an accelerated path of growth. We are delighted that Network18, our promoter, has backed their continued belief in the HomeShop18 business model by investing their fair share of the round.â€ť
Teall Edds, OCP Asia, said, â€śWe are delighted to partner with Indiaâ€™s premier virtual commerce company, Homeshop18, and be part of the Indian e-commerce and retail growth story. We believe that HomeShop18 is a world class platform that is well positioned to capitalize on the India growth story. "
Sarbvir Singh, Head, Investments, Network18, said, â€śWe are pleased to reaffirm our belief in HomeShop18 and invest in one of Indiaâ€™s leading virtual commerce businesses. It is gratifying to see the value built up in the business over the relatively short period since the company was founded. We welcome OCP Asia as they join SAIF Partners, GS Shop and us in building out the business.â€ť