An India-based group with interests in the information-communication technology sector is setting up its global headquarters in Singapore, armed with a 200-million-US-dollar war chest, news reports said Friday.

The city-state was picked because of its proximity to the fast- growing "Israel-to-Indonesia" market, The Business Times quoted Spice Corp Chairman BK Modi as saying.

The region contains nearly half the world's population and has an overall mobile-phone penetration rate of 35 per cent, presenting a large market for growth.

Spice is a diversified conglomerate operating across the communications and entertainment sectors with a 30-year history in technology, automation, information technology and telecommunications.

As part of its investment in Singapore, an entertainment complex is also to be set up in the city-state, offering round-the-clock dining, shopping, movie screening and digital entertainment.