country pro file
Developing biotech
CORNELL IN INDIA
BIOTECHNOLOGY FOR DEVELOPMENT
-v
Solid position
Ample opportunity
What'sNewS Issue 6 October 2000
invested to improve food storage and
limit imports of food grains. Phase two,
'the Green Revolution', initiated
in the mid-60s, involved efforts
in improving the irrigation sys-
tem, increasing availability of
power, establishing fertilizer
plants and setting up ware-
houses. The last major phase is
currently underway - with a shift
within the government from its
traditional role as controller to-
ward facilitator to the agricul-
tural economy. 'Most infrastruc-
Hural organizations have been
overnment-owned,' Kapoor ex-
plains. 'We're seeing that the PreetiSinha
government is increasingly fos-
tering strategie alliances between the pri
vate and public sectors - this means stan-
dards in quality will be given the space to
improve.'
'Several international infrastructure com-
panies have expressed interest in India,'
says Preeti Sinha, Rabo India's senior
manger, corporate finance. 'For our office,
this is a great opportunity, as we've been
able to position ourselves
quite solidly in the F&A
business here.' RFs food
and agribusiness knowl-
edge and expertise in In
dia was recognized about
a year and a half ago
when the central govern
ment approached Mum-
bai's team to act as lead
bank in a seminar ad-
dressing credit in F&A.
Rabo India received in
ternational attention in
March this year, with the
USD 433 million Tata
Tea deal. And in August, Rabo India and
the Infrastructure Development Finance
Company (IDFC) signed a strategie coop-
eration agreement on infrastructure (see
related article). 'The IDFC signing was
quite a significant step,' says Sinha. 'Co-
operating with a top player in infrastruc
ture will facilitate the much-needed
changes to take India's F&A profits to the
next level, bridging the gap between the
private and public sectors. We're very ex-
cited to play this role in developing India's
infrastructure.'
In terms of investment, most major
multi-national food companies have a
presence in India, and more are coming.
And with better infrastructure, Indian
F&A players can increasingly strengthen
their regional and global positions.
'There's a deficit of strong local players at
the moment,' Kapoor explains. 'With
improvements in chilling facilities and
roads, several solid Indian companies will
be prepared for the international F&A
arena.' This presents ample opportunity
for our Mumbai team, who continue to
develop their advisory services in M&A
and work with international companies in
setting up strategie alliances with local
players. 'We're committed to offering
clients the full-package,' says Kapoor.
'F&A expertise, solid banking products,
and M&A advisory. It's our goal to help
our clients, and RI, reap the benefits of
India's blossoming F&A market.'
Rabo India and Cornell University
recently cooperated to organize the
first biotech conference in India, 'Cor-
nell-in-India lnitiative, Biotechnology
for Development' in Chennai. Held over
the week of 12 September, Indian busi-
nesscs. and entrepreneurs were offered
first-hand knowledge and information
about the nature and potential of the
biotech sector from both an Indian and
global perspective. The conference
aimed to assist Indian companies in de
veloping business plans for a successful
biotech enterprise. As lead sponsor,
Rabo India played a key role in the con
ference and provided valuable expertise
with the presentation of Mark van der
Geest, Rabo Securities' equity analyst,
which outlined the approach to valua-
tion of biotechnology companies, in-
cluding the difficulties faced in valuation
and use of qualitative and quantitative
methods. India has the potential to be-
come a strategie global base for biotech
nology products and
services - and Rabo In
dia's key involvemcnt
in this event showcases
RI's position as a lead-
ing investment banker
in Europe and India's
biotech industry.
The conference was
very well-received by
participants, bringing
together all key stake-
holders in the biotech
industry including re
search bodies, aca
demie institutions, reg
ulators, agencies and
industry players. The
busy four-day agenda offered formal
presentations by industry and academie
experts, panel presentations and discus-
sions by Indian and overseas biotech
companies, and video confcrencing with
2ER. 2000
New initiatives: from left - Lavmeet Hora, manager strategie
advisory/ M&A, Rabo India Finance, Mark van der Geest, equity
analyst, Rabo Securities, V.V.L.N. Sastry, associate director strate
gie advisory/M&A, Rabo India Finance, and Preeti Sinha, senior
manager strategie advisory/M&A, Rabo India Finance
experts in the US and Europe, offering a
unique opportunity for biotech compa
nies, investors, business development ex
perts and Indian regulatory agencies to
interact on a one-to-one basis.
