Speaking to The Financial Express, DBS Internet Services chief executive officer Sanjay Shetty said the company plans to set up a subsidiary in the US next year. DBS may divest more than 26 per cent in equity to finance its expansion plans, he said.

The valuation is expected to be completed in the next couple of months and the company will firm up its IPO plans before the end of the current fiscal, said Shetty.

He said the company is open to strategic investments from venture funds on technology and marketing fronts.

DBS is one of the early players in the internet solutions market and has several multinational and international clients including Samsung, HCL, Air India and Citibank. The company also did the website for National Stock Exchange. DBS Internet Services is part of Rs 250-crore DBS group. It did business worth $0.75 million in 1998-99.

Plans are also afoot to put in place a subsidiary in the US by middle of next year. Shetty said the company sources over 70 per of its revenue from within the country. However, over the next one year, DBS plans to focus on the US market. "Our target is to make the US market account for 60 per cent of our revenue by 2000-2001," Shetty said.

Apart from the United States market, the company will plans to venture into markets in UK and West Asia. Shetty said the company would be looking to enter into technology and marketing partnerhships in India and abroad.DBS on Thursday launched EnterpriseB2B.com, a business-to-business e-commerce portal. The site is designed to help businesses get started on e-commerce, said Shetty.