OnMobile Global, a provider of telecommunications value added software products and services in India, has surged to a high of Rs 579.90 before closing the day at Rs 521.90, up 18.61% over its offer price of Rs 440 per share. The stock opened at Rs 440 and hit a low of Rs 421 in morning trade. It traded with volumes of 1,97,15,324 shares on the BSE.
In an interview with CNBC-TV18, Arvind Rao, CEO & MD, Onmobile Global said they see 60-65% topline growth over the next three years and that they will maintain margins at current or higher levels for the next three years.
Rao also said that their ring back services are generating ARPUs of 9-12% for providers and that they are seeing decent traction on ARPUs. He added that the company is looking at two more overseas acquisitions in the next 12-18 months.
On the NSE, the stock went up by 17.76% or Rs 78.15, to settle at Rs 518.15, with volumes of 2,58,95,949 shares. It touched a high/low of Rs 579 and Rs 411, respectively. The turnover was at Rs 1,366 crore.
The company had entered capital market with a public issue of 1.09 crore equity shares at a price band of Rs 425-450 and got subscribed 10.95 times.
Source: Moneycontrol.com
Showing posts with label OnMobile Global IPO. Show all posts
Showing posts with label OnMobile Global IPO. Show all posts
Tuesday, February 19, 2008
Monday, February 18, 2008
OnMobile Global to list on Tuesday
OnMobile Global, a leading provider of telecommunications value added software products and services in India, will list on the bourses with its equity shares on Tuesday, February 19, 2008. The issue price has been fixed at Rs 440 per share.
The company had entered capital market with a public issue of 1.09 crore equity shares at a price band of Rs 425-450 and got subscribed 10.95 times.
The objects of the issue are to purchase equipment for the company’s offices at Bangalore, Mumbai and Delhi and various customer sites, to meet working capital requirements, repayment of loan and to fund expenditures for general corporate purposes.
The book running lead managers to the issue are Deutsche Equities India Private Limited and ICICI Securities Limited.
It has a broad range of applications that are delivered by its carrier customers to their end-user subscribers. These products include ringback tones, voice portals, ringtone downloads, subscription manager, contests, music messaging, on-device client software, mobile radio, dynamic voicemail, voice short messaging service and missed call alerts which enable subscribers to personalise their mobile phones and thereby enhance user experience.
Source: Moneycontrol.com
The company had entered capital market with a public issue of 1.09 crore equity shares at a price band of Rs 425-450 and got subscribed 10.95 times.
The objects of the issue are to purchase equipment for the company’s offices at Bangalore, Mumbai and Delhi and various customer sites, to meet working capital requirements, repayment of loan and to fund expenditures for general corporate purposes.
The book running lead managers to the issue are Deutsche Equities India Private Limited and ICICI Securities Limited.
It has a broad range of applications that are delivered by its carrier customers to their end-user subscribers. These products include ringback tones, voice portals, ringtone downloads, subscription manager, contests, music messaging, on-device client software, mobile radio, dynamic voicemail, voice short messaging service and missed call alerts which enable subscribers to personalise their mobile phones and thereby enhance user experience.
Source: Moneycontrol.com
OnMobile Global to list at around Rs 450-500
OnMobile Global, a leading provider of telecommunications value added software products and services in India, will list on the bourses on February 19, 2008. Experts believe that the stock is likely to list around Rs 450-500 as against its issue price of Rs 440 per share.
According to Investment Advisor, S P Tulsian, "OnMobile Global is likely to list at Rs 450 against its issue price of Rs 440. Profit booking is advised upto Rs 425 levels."
R S Iyer of K R Choksey Securities said, "OnMobile is expected to list at around Rs 450-500. One should hold the stock for better price of Rs 650. Selling is advised above Rs 650."
The company had entered capital market with a public issue of 1.09 crore equity shares at a price band of Rs 425-450 and got subscribed 10.95 times.
It has a broad range of applications that are delivered by its carrier customers to their end-user subscribers. These products include ringback tones, voice portals, ringtone downloads, subscription manager, contests, music messaging, on-device client software, mobile radio, dynamic voicemail, voice short messaging service and missed call alerts which enable subscribers to personalise their mobile phones and thereby enhance user experience.
Source: Moneycontrol.com
According to Investment Advisor, S P Tulsian, "OnMobile Global is likely to list at Rs 450 against its issue price of Rs 440. Profit booking is advised upto Rs 425 levels."
R S Iyer of K R Choksey Securities said, "OnMobile is expected to list at around Rs 450-500. One should hold the stock for better price of Rs 650. Selling is advised above Rs 650."
The company had entered capital market with a public issue of 1.09 crore equity shares at a price band of Rs 425-450 and got subscribed 10.95 times.
It has a broad range of applications that are delivered by its carrier customers to their end-user subscribers. These products include ringback tones, voice portals, ringtone downloads, subscription manager, contests, music messaging, on-device client software, mobile radio, dynamic voicemail, voice short messaging service and missed call alerts which enable subscribers to personalise their mobile phones and thereby enhance user experience.
Source: Moneycontrol.com
Tuesday, January 29, 2008
OnMobile Global IPO subscribed 11 times
The initial public offering (IPO) of OnMobile Global, a leading provider of telecommunications value added software products and services in India with an expanding international presence, has received good response and subscribed 10.93 times, as per NSE website.
Public offer has received bids for 11.9 crore equity shares as against 10,900,545 equity shares on offer. Good response has seen from qualified institutional investors, whose reserved portion subscribed 16.68 times, according to sources. All bids were at higher end of price band.
The price band is between Rs 425 and Rs 450 per equity share.
The company is proposing a fresh issue of 8,613,356 equity shares and an offer for sale of 2,287,189 equity shares by Onmobile Systems Inc. The issue would constitute 18.99% of the fully diluted post issue paid-up capital of the company.
The objects of the issue are to purchase equipment for the company’s offices at Bangalore, Mumbai and Delhi and various customer sites, to meet working capital requirements, repayment of loan and to fund expenditures for general corporate purposes.
The equity shares are proposed to be listed on Bombay Stock Exchange and National Stock Exchange of India.
The book running lead managers to the issue are Deutsche Equities India Private Limited and ICICI Securities Limited.
It has a broad range of applications that are delivered by its carrier customers to their end-user subscribers. These products include ringback tones, voice portals, ringtone downloads, subscription manager, contests, music messaging, on-device client software, mobile radio, dynamic voicemail, voice short messaging service and missed call alerts which enable subscribers to personalise their mobile phones and thereby enhance user experience.
Source: Moneycontrol.com
Public offer has received bids for 11.9 crore equity shares as against 10,900,545 equity shares on offer. Good response has seen from qualified institutional investors, whose reserved portion subscribed 16.68 times, according to sources. All bids were at higher end of price band.
The price band is between Rs 425 and Rs 450 per equity share.
The company is proposing a fresh issue of 8,613,356 equity shares and an offer for sale of 2,287,189 equity shares by Onmobile Systems Inc. The issue would constitute 18.99% of the fully diluted post issue paid-up capital of the company.
The objects of the issue are to purchase equipment for the company’s offices at Bangalore, Mumbai and Delhi and various customer sites, to meet working capital requirements, repayment of loan and to fund expenditures for general corporate purposes.
The equity shares are proposed to be listed on Bombay Stock Exchange and National Stock Exchange of India.
The book running lead managers to the issue are Deutsche Equities India Private Limited and ICICI Securities Limited.
It has a broad range of applications that are delivered by its carrier customers to their end-user subscribers. These products include ringback tones, voice portals, ringtone downloads, subscription manager, contests, music messaging, on-device client software, mobile radio, dynamic voicemail, voice short messaging service and missed call alerts which enable subscribers to personalise their mobile phones and thereby enhance user experience.
Source: Moneycontrol.com
Sunday, January 27, 2008
OnMobile Global subscribed 1.31 times on day 2
OnMobile Global was subscribed 1.31 times on the second day of opening. The issue received bids for 1.43 crore shares as against 1.09 crore shares on offer.
The price band of equity share of face value Rs 10 each has been fixed between Rs 425-450 per share. The IPO will close on 29 January 2008.
The issue would constitute 18.99% of the fully diluted post issue paid-up capital. The issue has been graded above average by CRISIL and has been assigned a grade of 4/5.
OnMobile Global is a provider of telecommunications value added software products and services in India with an expanding international presence.
The company plans to use IPO proceeds to purchase equipment for company's offices at Bangalore, Mumbai and Delhi and various customer sites, to meet working capital requirements, repayment of loan and to fund expenditures
Source: CapitalMarket.com
The price band of equity share of face value Rs 10 each has been fixed between Rs 425-450 per share. The IPO will close on 29 January 2008.
The issue would constitute 18.99% of the fully diluted post issue paid-up capital. The issue has been graded above average by CRISIL and has been assigned a grade of 4/5.
OnMobile Global is a provider of telecommunications value added software products and services in India with an expanding international presence.
The company plans to use IPO proceeds to purchase equipment for company's offices at Bangalore, Mumbai and Delhi and various customer sites, to meet working capital requirements, repayment of loan and to fund expenditures
Source: CapitalMarket.com
Friday, January 25, 2008
Subscribe to OnMobile Global IPO
Emkay Share and Stock Brokers has come out with research report on OnMobile Global IPO. The firm has recommended subscribing to the issue.
OnMobile Global, a leading provider of telecommunications value added software products and services in India with an expanding international presence, has opened for subscription with an initial public offering of 10,900,545 equity shares of Rs 10 each for cash at a price to determined through a book building process.
The issue will close for subscription on January 29, 2008. The price band has been fixed between Rs 425 and Rs 450 per equity share.
Emkay Share and Stock Brokers report on OnMobile Global IPO
OnMobile Global is a leading provider of telecom value added services (VAS) in India and is expanding its international presence, especially in the emerging markets of Asia. The company offers value added services such as ringback tones, voice portals, ringtone downloads, etc. to its carrier customers. OnMobile not only rides on the telecom growth with increasing subscribers, but also enables operators to protect their ARPUs by providing innovative services, thus generating a pull from them.
Service offerings
OnMobile's offerings include services like ringback tones, voicemail, missed call alerts, voice SMS, music solutions, information and entertainment solutions (stock alerts, sports & news updates, etc) interactive media solutions, m-commerce solutions (mobile ticketing, bill payment, etc) mobile marketing solutions, etc.
Strong customer base
OnMobile's customers include major telecom operators like Bharti Airtel, BSNL, Vodafone, Tata Teleservices, Reliance Communications and Idea Cellular in India. It also offers the services to international operators such as Sheba Telecom Bangladesh, Maxis Malaysia, BTEL and Indosat in Indonesia and SingTel Optus Australia and media companies like AOL, Disney, ESPN, etc.
Robust growth opportunity
The Indian mobile telecom industry is witnessing a robust growth, with the mobile subscribers increasing from 13mn in 2003 to 230mn in December 2007. The lower penetration (~20%), along with the falling handset prices and widening network coverage together provide huge potential for further growth in the mobile subscribers. With robust monthly subscriber additions, Gartner expects the mobile subscriber base to increase by a CAGR of 27% to 462mn by 2011.
While the mobile subscriber base is rapidly growing, the average revenue per user (ARPU) is consistently declining, provoking the mobile operators to find ways to generate higher ARPU thus making a strong business case for companies like OnMobile.
OnMobile's service offerings create new revenue sources for its customers primarily the telecom operators, who are desperately exploring ways to increase their ARPUs. OnMobile derives its revenues on a revenue sharing model from the revenues generated by the carriers using the value added services provided by the company. OnMobile's revenue share typically ranges between 15-40% averaging at 20-25%.
The rising demand for value added services along with the want of higher margins by the operators are the primary drivers for the growth in this segment. The value added services segment of the mobile sector in India is expected to grow at a 36% CAGR from Rs65bn in 2007 to Rs225bn in 2011. With the normal person-to-person (P2P) SMS contributing around 45-50% of the VAS market, the remaining 50-55% of the market is the target market for OnMobile.
Valuation & recommendation
With strong presence in the value added services market and very good relationships with carriers, OnMobile is likely to benefit from the growth in the Indian and international telecom markets. Considering the strong growth opportunity in Indian as well as international telecom markets, and healthy operating margins enjoyed by the company (~45%), we believe that OnMobile is poised for a robust revenue growth in excess of 50% over FY07-10E and an even higher earnings growth due to higher operating leverage. The company also has strong ROE and ROCE of over 30%, which is not only sustainable but also likely to improve. At upper end of the price band of Rs 450 per share, the stock is offered at around 10x EV/EBIDTA and 15x earnings for FY10E. Thus we recommend subscribe on the issue.
Concerns
* OnMobile's business depends on technological and product innovations. Inability to innovate new solutions that are accepted by the market could affect the future growth of the company.
* A reduction in the end-user pricing by the carrier customers could result in loss of revenues as the company primarily derives revenues on sharing arrangement with the carriers.
* OnMobile's major carrier customers operate in a regulated environment and any changes in regulation could affect the operations of the company.
Source: Moneycontrol.com
OnMobile Global, a leading provider of telecommunications value added software products and services in India with an expanding international presence, has opened for subscription with an initial public offering of 10,900,545 equity shares of Rs 10 each for cash at a price to determined through a book building process.
The issue will close for subscription on January 29, 2008. The price band has been fixed between Rs 425 and Rs 450 per equity share.
Emkay Share and Stock Brokers report on OnMobile Global IPO
OnMobile Global is a leading provider of telecom value added services (VAS) in India and is expanding its international presence, especially in the emerging markets of Asia. The company offers value added services such as ringback tones, voice portals, ringtone downloads, etc. to its carrier customers. OnMobile not only rides on the telecom growth with increasing subscribers, but also enables operators to protect their ARPUs by providing innovative services, thus generating a pull from them.
Service offerings
OnMobile's offerings include services like ringback tones, voicemail, missed call alerts, voice SMS, music solutions, information and entertainment solutions (stock alerts, sports & news updates, etc) interactive media solutions, m-commerce solutions (mobile ticketing, bill payment, etc) mobile marketing solutions, etc.
Strong customer base
OnMobile's customers include major telecom operators like Bharti Airtel, BSNL, Vodafone, Tata Teleservices, Reliance Communications and Idea Cellular in India. It also offers the services to international operators such as Sheba Telecom Bangladesh, Maxis Malaysia, BTEL and Indosat in Indonesia and SingTel Optus Australia and media companies like AOL, Disney, ESPN, etc.
Robust growth opportunity
The Indian mobile telecom industry is witnessing a robust growth, with the mobile subscribers increasing from 13mn in 2003 to 230mn in December 2007. The lower penetration (~20%), along with the falling handset prices and widening network coverage together provide huge potential for further growth in the mobile subscribers. With robust monthly subscriber additions, Gartner expects the mobile subscriber base to increase by a CAGR of 27% to 462mn by 2011.
While the mobile subscriber base is rapidly growing, the average revenue per user (ARPU) is consistently declining, provoking the mobile operators to find ways to generate higher ARPU thus making a strong business case for companies like OnMobile.
OnMobile's service offerings create new revenue sources for its customers primarily the telecom operators, who are desperately exploring ways to increase their ARPUs. OnMobile derives its revenues on a revenue sharing model from the revenues generated by the carriers using the value added services provided by the company. OnMobile's revenue share typically ranges between 15-40% averaging at 20-25%.
The rising demand for value added services along with the want of higher margins by the operators are the primary drivers for the growth in this segment. The value added services segment of the mobile sector in India is expected to grow at a 36% CAGR from Rs65bn in 2007 to Rs225bn in 2011. With the normal person-to-person (P2P) SMS contributing around 45-50% of the VAS market, the remaining 50-55% of the market is the target market for OnMobile.
Valuation & recommendation
With strong presence in the value added services market and very good relationships with carriers, OnMobile is likely to benefit from the growth in the Indian and international telecom markets. Considering the strong growth opportunity in Indian as well as international telecom markets, and healthy operating margins enjoyed by the company (~45%), we believe that OnMobile is poised for a robust revenue growth in excess of 50% over FY07-10E and an even higher earnings growth due to higher operating leverage. The company also has strong ROE and ROCE of over 30%, which is not only sustainable but also likely to improve. At upper end of the price band of Rs 450 per share, the stock is offered at around 10x EV/EBIDTA and 15x earnings for FY10E. Thus we recommend subscribe on the issue.
Concerns
* OnMobile's business depends on technological and product innovations. Inability to innovate new solutions that are accepted by the market could affect the future growth of the company.
* A reduction in the end-user pricing by the carrier customers could result in loss of revenues as the company primarily derives revenues on sharing arrangement with the carriers.
* OnMobile's major carrier customers operate in a regulated environment and any changes in regulation could affect the operations of the company.
Source: Moneycontrol.com
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