Essel Software to tap market

By Our Staff Reporter

HYDERABAD, SEPT. 23. Essel Software and Services, a company into product development, has chalked out expansion plans involving investment of Rs. 675 lakhs. This is to finance cost of additional software development facilities and related infrastructure, besides overseas marketing offices at Singapore and the U.S.

The company has around 65 employees in two locations - Hyderabad and Guntur - and expansion of operations will take it into development of web application software, portals and e-commerce. The marketing strategy for its 23 products is `low prices but high volumes'.

To part finance the expansion, it is coming out with a public issue of 16 lakh equity shares of Rs. 10 each for cash at par aggregating Rs. 160 lakhs. The promoters propose to bring in Rs. 4.45 crores, while the Andhra Pradesh Industrial Development Corporation (APIDC) is participating in the equity to the tune of Rs. 25 lakhs. APIDC is also extending a term loan of Rs. 45 lakhs. The issue opens on September 25 and closes on October 3.

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Section  : Business
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