Antarix gets second round funding from Gulf-based NRI

Our eFE Bureau in Chennai

Antarix eApplications Ltd (formerly DSQ World.com Ltd) has received its second-round funding from a Gulf-based non-resident Indian (NRI), Mr Vijay K Reddy. The funds would be used to set up data centres in Mumbai and United Kingdom, which would entail an investment of about Rs 25 crore, said Mr Chandrasekar Venkataraman, chief financial officer, Antarix.

The NRI will pick up a 18-20 per cent on a milestone basis and the funds would be released in tranches. “I see immense potential in the application service provider model and the management strength at Antarix. This has prompted me to invest in Antarix,” Mr Reddy said.
Antarix had appointed BNP Paribas to scout for investors in the company. “We are still open to strategic investors picking up a stake,” said Mr Venkataraman.

The Chennai-based company targets a revenue of Rs 30-40 crore in the first year and expects to break even in two years.

The company currently has a cash burn of Rs 0.5 crore per month and is comfortable in terms of cash for operations, the chief financial officer added.