Videocon plans US entry, Nasdaq listing

NEW DELHI: Consumer goods major Videocon, which prides in calling itself the Indian multinational, plans to list in the US market in two years by when it dreams of putting its products in American homes.

"My dream is to enter the US market... we would like to enter the market as soon as we are ready. Probably, in two years' time. Once we enter the market we will ring the Nasdaq bell," Videocon Group Chairman Venugopal Dhoot told PTI.

Videocon could then join the likes of IT giants Infosys, Wipro and Satyam, which are listed on US bourses. With a US listing, Dhoot will be rubbing shoulders with tech czars NR Narayana Murthy and Azim Premji, who rang the opening bell at the NYSE and Nasdaq.

Dhoot, however, said at present the company was preparing itself for the entry into the world's most competitive consumer electronics market.

"You cannot go haphazardly or half heartedly in the US market, because it is 'the market'. It is 40 per cent of the world's market. So when you want to enter the US market you have to be very cautious," he said.

The company's plant in Mexico could serve as the route to the US, he added.

Although the group has not yet decided on the amount to be raised from the proposed US listing, Dhoot said the proceeds form it would be utilised for funding its mergers and acquisition activities.

Currently, 17 Indian companies are listed on the US bourses, six on Nasdaq and the remaining 11 on NYSE. Nasdaq listed Indian companies include Infosys Technologies, Satyam (Sify), Cognizant, Rediff.com, EXLService while those listed on NYSE include - HDFC Bank, ICICI Bank, Satyam Computers, Wipro, VSNL, MTNL and Dr Reddy's among others.

Infosys was the first Indian company to tap US exchanges with a listing on Nasdaq in March 1999.

Videocon group has businesses spread from consumer durables to oil and gas exploration. It has three listed entities, has a combined market capitalisation of about Rs 10,000 crore and had closed the previous fiscal with consolidated revenues of Rs 13,507 crore.