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C1 India To Partner With AP To Take Other States Online

Prachi Verma, New Delhi

C1 India (part of US-based CommerceOne), an e-procurement solutions provider is in the process of entering into a joint venture with the Andhra Pradesh Government in order to provide e-procurement solutions to other states in India. It has already signed on the Punjab government for automating its pre-tendering, tendering and post-tendering process with its e-procurement solutions. Currently, C1 is working with the AP government to provide an e-procurement marketplace to all the state's departments.

"We are in the process of forming 50:50 JV with the AP government to jointly target other states with our e-procurement solutions," C1 India president Vivek Agarwal told eFE.

Further, the new JV is planning to raise funds up to $10 million for its countrywide e-procurement initiative./p>

"We are in the process of finalising an investment banker who will help us raise funds for the new JV," Mr. Agarwal said. The new entity as well as the details of the funds are likely to be completed in 3 months. "We are currently developing solutions based in Hindi, Telugu and Punjabi."

Once live, the e-procurement marketplace in the AP departments will enable over Rs. 10,000 crore worth transactions while Punjab project would enable transactions worth up to Rs. 4,000 crore.

"We are in talks with five more states but it is very premature to name these as we are still signing up," he said.

The work involves receiving online bids, evaluating them, awarding the order, monitoring the contracts and placing purchase orders directly on the Internet.

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