E-learning ventures - Kaashyap in talks with investors

The Hindu,
Chennai June 19, 2001

KAASHYAP Radiant Systems Ltd (KRSL) is in talks with investors and bankers for funding its e-learning initiative.

Speaking to newspersons, Mr A. Venkatramani, Managing Director, KRSL, said, "KRSL will invest in the first phase of the e-learning initiative. Towards this, we are in talks with banks and other investors for funding of Rs. 25-27 crore for funds. It could come in the form of debt or in exchange for equity."

The e-learning product - Meet Virtual - has been developed within KRSL by Mr Raghu Tandra, CEO of its US subsidiary, SoftPride Inc, with the aid of the incubation centre of the e-commerce school of North Western Oklahoma State University (NWOSU) in the US.

At a later date, KRSL plans to spin the initiative off into a separate company, with the US partner having a 25 per cent stake. "Later, we will look to venture capitalists for funds in exchange for, say, 5-10 per cent of equity in the e-learning company."

Mr Venkatramani added, "The first-round funding will help us get quality content, infrastructure and in our globalisation efforts."

KRSL is in talks with East London University, University of Paisley in Scotland, an Australian University and another European Univeristy to implement the product.

Mr Venkatramani said, "These projects will get finalised in the next 12-15 months." NWOSU was Meet Virtual's first customer.

In a separate initiative, KRSL has also tied up with the e-commerce school at NWOSU to offer a bachelor's degree in e-commerce to students in India.

Students with a bachelor's degree are eligibile to enrol in this course which will last about 14 months - six months in India for Rs. 99,500 and a couple of semesters in the NWOSU campus for a $6,000 fee.

Mr Alex Pujari, Dean, School of E-commerce, NWOSU, said: "Under the agreement, KRSL will digitise, distribute and maintain the University's course content for this programme."