Vanguard Management, the corporate venturing and management consultant division of US-based consulting firm Vanguard Minerals, has exchanged shares with India-based private equity firm Genesis Venture Fund India I.
Vanguard Management will provide consulting services to Genesis’ portfolio companies for two years. Genesis plans to invest in between four and six education companies doing business in India and float them on UK or US stock exchanges.
Genesis will be issued 125,000 common shares of Vanguard stock in exchange for 15% of the limited partnership interests in India I and up to $250,000 in cash milestone payments.
Jim Price, chief executive of Vanguard Management, owns 20% of the limited partnership interests in Genesis and also serves as its managing director. Price said: "As I have worked with Genesis, I have seen the potential synergies that the Vanguard team could bring to the Genesis portfolio companies. This strategic partnership will augment the management resources Genesis can provide to its portfolio companies and will also expand Vanguard’s consulting business into India."
The exchange follows Vanguard Minerals setting up, under Woody Junot, a separate venture capital and incubation division, GreenZone Ventures, at the start of the month to invest in clean-technology businesses.
The company has also taken equity stakes in companies as part-payment for its consultancy services, including 15% of organic food maker Whole in One Products earlier this month.