Ramco Systems raises $52 million through QIP

The fund would be used to repay part of the debt and marketing among others

Enterprise cloud software company Ramco Systems has raised $52 million, (Rs 325 crore) through qualified institutional placement to repay a portion of its debt, to support operational expenses to attract the right talent and to strengthen its marketing efforts in global markets.

The company has been investing on expansion and building capabilities to address the global needs, as the enterprise cloud market is expecting a fast growth. Raising funds at current valuation levels would be in the long term interest of the company and would allow the company to deleverage, said the company.

"Globally, cloud companies are getting good valuation. This the value that investors attach to IP-led businesses. India is slowly moving towards differentiating product from services led software business," said P R Venkatrama Raja, vice chairman and managing director of Ramco Systems, adding that the company is in the forefront of this change. The public shareholding of the company has increased from 30.9% to 42.9%, he said.

Speaking about attracting and retaining the right talent, Virender Aggarwal, CEO of Ramco Systems said that the employees are given the freedom to share their ideas and suggestions and there is an inherent effort to build a flat and open organisation where employees are encouraged to share knowledge and grow. No hierarchies, cabin-less offices, coffee with the CEO and respect work not titles are some of the few cultural changes in Ramco Systems, he said.