Sequoia Capital and Sandstone Capital Invest in Micromax
Micromax is on a roll and while the company has shaken the mobile handset market with its price strategy, the real challenge is still to come – i.e. gaining market share in high end phones.
The company has sold minority stake to three investors – Sequoia Capital, Sandstone Capital and Madison Capital Management, valuing the group to more than 440 million dollars.
Micromax is planning for IPO in 2012 and earlier raised Rs. 225 Crores from TA Associates, a PE firm. As per ET, the company posted revenues of Rs 1,600 crore and a net profit of Rs 150 crore in 2009-10.
A Few Facts About Micromax
– 80% of sales happen in rural India.
– The company claims to sell 1 million phones a month (45,000 retail points in 120 cities across India)
– Was one of the first companies to introduce handsets with 30 days battery backup, DUAL SIM and handsets switching networks (i.e. GSM-CDMA)
Have you tried a Micomax phone? What’s your take?