NetMagic, India’s leading managed IT services provider, today announced that it has acquired $20 million in private equity financing. This round of funding was led by the Indian proprietary venture and growth capital arm of Fidelity International Limited (FIL) and India’s leading venture capital firm, Nexus India Capital. The company will use proceeds of the financing to accelerate business growth and expand its footprint domestically and internationally. Nexus India Capital is a prior investor in NetMagic. (See today’s related release entitled “NetMagic Extends Remote Data Center Management Services to North America”).
Over the years NetMagic has established itself as a leader in the managed hosting services space for a diverse range of industries including financial services, telecom, online commerce, online media, gaming and manufacturing. NetMagic plans to use the new round of funding to expand its service portfolio, to introduce new data center locations in India and to establish its presence in North America and other geographies.
“The latest round of funding demonstrates our investors’ confidence in our management team, our strategy and roadmap,” said Sharad Sanghi, chief executive officer and managing director, NetMagic Solutions. “Over the last few years, we have built a blue chip client base in the financial, telecom, media and Internet 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.”
“Over the past few years, NetMagic has achieved growth rates of over 70 percent and significant market share in the fast-growing, highly competitive Indian Managed IT 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.”
“NetMagic’s leadership position, technology innovation, and high quality delivery gave us the confidence to invest again in this round of funding,” said Naren Gupta, managing director, Nexus India Capital. “This investment reaffirms our commitment to invest in high growth companies in India. NetMagic will emerge as a global provider of choice for mission critical applications in the outsourced data center and remote infrastructure management space.”
NetMagic’s client list of hosting customers includes domestic and global market leaders in banking and financial services, media and entertainment; IT enabled Services (ITeS), manufacturing, travel and tourism, education, telecom, and government institutions.
About NetMagic Solutions
NetMagic Solutions is India’s leading Managed IT Service Provider, specializing in Internet Data Center, Managed Hosting, Remote Infrastructure Management, Mail and Messaging Services.
NetMagic Solutions is ISO 27001 (formerly BS7799-2) certified and SAS70 Audit (Type II) compliant. Combining world class internet data centers with advanced technology and professional service capabilities, NetMagic Solutions delivers innovative and seamless performance of mission critical Hosted Applications from Multiple locations to its customers, securely.
NetMagic has multiple carrier-neutral datacenters located in Mumbai, Bangalore and a virtual datacenter in the United States. These are equipped with best-in-class infrastructure, world-class services, tools and skilled personnel giving our customers the option to host their applications in any of these centers. NetMagic assures mission critical support to its customers in association with its ecosystem of Channel and Alliance partners. For more information visit www.netmagicsolutions.com.
About Fidelity International
FIL has offices in over 20 countries across Europe and Asia-Pacific. The Indian venture and growth capital arm of FIL, which comprises some of the most experienced investment professionals operating in the Indian region, seeks to actively invest predominately FIL proprietary capital principally in high-quality, high-growth companies broadly in the information technology, healthcare and consumer sectors in India.
About Nexus India Capital
Nexus India Capital is India’s leading Venture Capital Fund focused on investing in innovative early to growth stage companies across sectors in India. Some of the areas of focus include Technology, Consumer services, and Outsourced business processes. The Nexus team includes successful entrepreneurs based in Silicon Valley, USA and Mumbai, India who bring extensive relationships and expertise in building companies. They typically prefer to invest early and play and formative role in developing the company. Some of the companies backed by the Nexus team include Speedera, Makemytrip, CustomerAsset, Pangea3, Baazee, NetMagic, Mobile2win, DimDim, Kirusa and Mapmyindia. For more information, please visit www.nexusindiacap.com.