Berggruen holdings Inc. looking to invest over $300 MN in the next 2 years

Company Brief

Mumbai, September 04, 2007

Berggruen Holdings Inc (BH), a private company founded by Nicolas Berggruen, started investing in India in September 2006 with a capital commitment of US$ 300 million through a fund managed by Sigma Asset Management. Berggruen is looking to expand its presence in India with additional investments over the next 2 years.

Since establishing itself in India last year, BH has invested / committed between US$ 10 – 100 million in each of its ventures in the education, hospitality, car rental, equipment rental, IT / ITES, and real estate sectors. Berggruen’s investments have been made through its companies - Berggruen Properties, Berggruen Hotels, Berggruen Education, Berggruen Car Rentals and Gemini Equipment and Rentals Pvt. Ltd. (GEAR).

The company is looking to invest an additional US$150 million in the coming year.

Nicolas Berggruen, Founder and President of Berggruen Holdings Inc. said, “India has been a priority market for Berggruen over the last year and essential to our global strategy. With the economy growing at over 10% and the influx of FDI reaching over $15 billion, India is an undeniably vital market in the global scenario and Berggruen Holdings is keen to participate in India’s growth story.”

“The market in India is ripe for innovative and improved business solutions, our international expertise and experience allows us to differentiate ourselves from competitors in sectors that we invest in”. he added.

BH Advisors, founded in September 2006 by Mr. Kabir Kewalramani, acts as the investment advisor to Berggruen Holdings in India. Present at the event, Mr. Kewalramani, Founding Director of BH Advisors said, “the progress of our 6 investee companies is evidence of the initiatives we have put in place over the last year. Each of our companies is growing aggressively and aspiring to be market leaders in each of their sectors.”

He also added, “Each of the leadership teams of our business’ includes the best and most experienced professionals in their fields, that, and the fact that we are incorporating Berggruen Holdings’ global practices in our Indian investments augurs well for our investments.”

Key Performance Highlights in 2006-07:

UEI-Global, Berggruen’s education venture was launched in Delhi in July 2007. The Company has introduced hospitality programmes at the first Institute in Rohini, West Delhi in August 2007, and will soon introduce tutorial programmes and relevant courses in other sectors as well.

UEI is currently working toward launching five additional institutes in Pune, Thiruvananthapuram, Mumbai, Jaipur and NOIDA by December 2007, and will scale up to 50 Institutes by 2009.

Berggruen Hotels Pvt. Ltd., the hospitality venture which is backed by an initial equity investment of $100 million launched its brand “KEYS” in January 2007 with three sub-brands – KEYS HOTELS; KEYS RESORTS; KEYS APARTMENTS. The company has also set up an International Division which is looking at three emerging markets to expand the brand immediately.

BHPL has acquired 14 sites (11 Hotels, 1 Resort and 2 Apartments) and is currently pursuing 15 more. Construction has commenced on 3 sites in Thiruvananthapuram, Kovalam and Ludhiana.

GEAR, the construction equipment rental company focuses on meeting the heavy construction equipment demand of the growing infrastructure, real estate, power and other sectors in India. Promoted by the Gemini Group of Companies in backed by Berggruen Holdings, GEAR started operations in February, 2007.

The company currently owns 150 assets around the country and has offices in Mumbai, Hyderabad, Bangalore and New Delhi. It aims to have 300 assets in the following year and scale up to 1,000 in the year 2009-2010.

Car Club is the exclusive Car Rental brand of Berggruen Car Rentals Private Limited. The Company will launch its products – Chauffer Drive, Self Drive and Car Lease in the near future. It also plans to launch a Radio Taxi Service.

Real Estate

Berggruen Holdings is looking to invest in real estate development in India. Each investment would typically range between US$20-100 million.

BH has already participated in a 125 acre Mixed Use (IT Park / Commercial and Residential) Real Estate Development project in Mohali, Punjab. BH is also currently in the final stages of exploring investments in real estate development projects in Mumbai, Surat, the NCR and other areas in South India.

Transactions that Berggruen is focusing on include Own Developments, Joint Developments and Joint Ventures.

For further information please contact:

Harsh Mehta

+ 91 9820802228

Priyanka Vieira

+ 91 9820737751

harsh@corvoshandwick.co.in

pvieira@corvoshandwick.co.in