Following the funding, the promoters will hold 60 per cent of the equity;, 20 per cent has been set aside for ESOP's and 20 per cent will be held by eTEC Ventures. The funds raised will be directed towards setting up an ASIC design facility, a corporate office in Bangalore and a US office. Mistral is focused on the embedded software and hardware space particularly Real Time OS, networking, telecom, hardware design, DSP, communication and smart devices. Addressing the media, company president SM Ahmed Anees said the company was looking at setting up design centres in new locations including centres in Hubli and Cochin as part of its plan to expand to new areas.

Mistral is also looking at a significant increase of its manpower from the current 100 to 200 engineers by 2002. The company is extensively looking at being the technology backend service provider for larger players. Mistral currently has business alliances with US-based players including Wind River Systems Inc, Force Computers Inc, trillium DigitalSystems Inc, etc. Mistral revenues are expected to touch Rs 17 crore this fiscal and is targeting Rs 44 crore next year.