Lok Capital invests in RuralShore Business Services

Sat Feb 6, 2010 6:14pm IST

Related Topics

The rural BPO firm plans to set up 500 centers across the country in six years.

Lok Capital LLC, a Mauritius-based venture capital fund, has invested an undisclosed sum in RuralShore Business Services Pvt Ltd, a Bangalore-based company. HDFC Ltd is a strategic investor in RuralShores holding 26% equity in the company.

RuralShore plans to utilise the fund in expanding its reach by opening additional operating centres in rural areas of India, it said in a joint statement issued with Lok Capital. It creates employment and entrepreneurial options for rural youth by encouraging them to BPO opportunities.

Speaking on the development, Murali Vullaganti, CEO, Rural Shores, says, “this strategic investment will help us to work with microfinance institutions, where we believe we can reduce the cost per transaction by delivering services out of our rural centers.”

The company has already established four centres and will be commencing another three in the near future. It is a rural-focused socio-commercial initiative launched to create employment in villages through the establishment of Rural Business Processing Centers. It plans to set up 500 centers across the country in six years with each center employing nearly 200 people from surrounding villages.

Lok Capital LLC is a $22-million venture capital fund which invests in commercially viable microfinance institutions in India. In India, the fund is advised by Delhi-based firm Lok Advisory Services. Lok Capital has already invested in several MFIs in India including Spandana, Basix and Ujjivan. In September 2009, it has invested $1.5 million in Asirvad Microfinance Pvt Ltd, a Chennai-based MFI.

-- Copyright 2009 VCCircle.com. All rights reserved.

This content/article is provided by Mosaic Media Ventures Private Limited and not by Reuters. All rights, including copyright, in this content/article provided by VCCircle.com are owned or controlled by Mosaic Media Ventures Private Limited. The content may not be copied, broadcast, downloaded and stored (in any medium), transmitted, adapted or changed in any way whatsoever without the prior written permission of Mosaic Media Ventures Private Limited.

FILED UNDER:

REUTERS SHOWCASE

Oil Prices Fall

Oil Prices Fall

Brent near four-year low after OPEC decides against output cut  Full Article 

Banking Sector

Banking Sector

India says considering plan to reduce stake to 52 pct in state banks   Full Article 

Islamic Fund

Islamic Fund

India gets new Islamic equity fund but debt market still off-limits  Full Article 

Fiscal Deficit

Fiscal Deficit

April-October fiscal deficit nears 90 pct of full-year target  Full Article 

SAARC Summit

SAARC Summit

Summit salvaged after handshake by leaders of India, Pakistan  Full Article 

Social Media

Social Media

Twitter to start tracking users' mobile apps  Full Article 

Forever21 in India

Forever21 in India

Forever21 sets sights on Indian cities, but please hold the hot pants  Full Article 

Japan Economy

Japan Economy

Japan inflation slows in October, output and spending show signs of recovery  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device  Full Coverage