To part-finance the Rs 4-crore diversification programme, the company has proposed to make an equity issue through private placement, CBEL managing director NV Prasad Raju told The Financial Express.

As per the agreement, both the companies would associate in software development, e-commerce ventures, net banking and insurance software. For the first full year operations the company estimated to achieve a turnover of Rs 12 crore through software development, Raju said. Sanjisoft 2000 Inc will provide the hard-ware and required technical support for the proposed two development centres in Hyderabad and Bangalore, which are expected to commence operations by end of February, 2000, said Raju.

In the recently held AGM, the CBEL shareholders have approved the proposal for diversification into software development and agreed to change name of the company to `Classic Infovision Ltd'.