Mr. Kamath said: âWe did not want a financial investor. We wanted a strategic investor who would help us in taking the company to European and US markets,â he said.
In 2000, IL&FS arm picked up 16% stake in Laser Soft through two funds â Tamil Nadu Infotech Fund and Indian Auto Ancillaries Fund putting in Rs 20 million (US $ 450,000) and Rs 25 million (US $ 560,000) respectively. Mr. Kamath declined to comment on IL&FSâs exit price.
Laser Soft is focused on banking software applications and gets its revenue mostly from domestic and west Asian markets. It expects to report revenue of Rs.220 million (approximately US$ 5 MM) year ending March 2007, up 29% from Rs.170 million (US $ 3.80 MM) last year. Its core banking solution panacea has six customers, including Corporation Bank, Andhra Bank and Bank Muscat, Bahrain. Besides, about 35 banks including State Bank of India, ICICI Bank, Canara Bank, UTI Bank use some of its products such as cash management and ATM reconciliation solutions.