http://contentsutra.com/rss/topic/ipo/ contentSutra news watch | IPO India’s Digital News Monitor 2012-02-09T16:03:51Z Copyright (c) 2012, contentSutra ExpressionEngine http://contentsutra.com/images/site/logo_cs_secondary.png Tempered Response To DB Corp IPO; Subscribed 0.62 Times On Day One tag:contentnext.com,2009-12-11:article/419-tempered-response-to-db-corp-ipo-subscribed-0.62-times-on-day-one 2009-12-11T11:50:42Z 2009-12-11T12:14:43Z Sruthijith KK http://contentsutra.com/member/75/ contentSutra http://contentsutra.com/ Copyright (c) 2009, contentSutra DB Corp., publisher of Dainik Bhaskar and Divya Bhaskar, and joint venture partner in DNA, opened its initial public issue of shares and was subscribed 0.62 times on day one. The price band of the issue is Rs185-212. Competitor Jagran Prakashan is trading at Rs125.40.

The company plans to raise Rs381.85 crore from this issue, according to Moneycontrol.com. The company has received commitment worth Rs69.35 crore from anchor investors on Thursday, the financial portal reported. Nine anchor investors have subscribed to 32,71,500 equity shares at Rs212 per equity share. The total issue is of 18,175,000 equity shares.

]]> DB Corp., publisher of Dainik Bhaskar and Divya Bhaskar, and joint venture partner in DNA, opened its initial public issue of shares and was subscribed 0.62 times on day one. The price band of the issue is Rs185-212. Competitor Jagran Prakashan is trading at Rs125.40.

The company plans to raise Rs381.85 crore from this issue, according to Moneycontrol.com. The company has received commitment worth Rs69.35 crore from anchor investors on Thursday, the financial portal reported. Nine anchor investors have subscribed to 32,71,500 equity shares at Rs212 per equity share. The total issue is of 18,175,000 equity shares.

]]> Eros To List Indian Subsidiary On BSE; Naresh Chandra To Be Chairman tag:contentnext.com,2009-10-06:article/419-eros-to-list-indian-subsidiary-on-bse-naresh-chandra-to-be-chairman 2009-10-06T06:49:57Z 2009-10-06T06:18:09Z Sruthijith KK http://contentsutra.com/member/75/ contentSutra http://contentsutra.com/ Copyright (c) 2009, contentSutra Eros International Plc., the AIM, London-listed film producer and distributor, said it plans to list its Indian subsidiary on the Bombay Stock Exchange during the current fiscal. Eros International Media Ltd, the Indian subsidiary, recently hired former BCCL executive A.P. Parigi as CEO.

]]> Eros International Plc., the AIM, London-listed film producer and distributor, said it plans to list its Indian subsidiary on the Bombay Stock Exchange during the current fiscal. Eros International Media Ltd, the Indian subsidiary, recently hired former BCCL executive A.P. Parigi as CEO.

Enam, Kotak and RBS have been appointed as the managers for the upcoming IPO. Former diplomat Naresh Chandra, who is a non-executive director on the London firm’s board, will be named chairman (non-executive) of the Indian subsidiary’s board. Eros will not dilute more than 25% stake in the Indian entity.

Eros’ recent films include Kambakkth Ishq, Love Aaj Kal, Me Shivaji Raje Bhosale Boltoy (Marathi), Tera Mera Ki Rishta and Kandasamy (Tamil).

“Eros will need to take the lead in further consolidating its market position in the current economic climate, given the company’s size, scale and liquidity. We will achieve this through a combination of strategic alliances but also through listing our subsidiary firm on the Bombay Stock Exchange,” chairman and CEO Kishore Lulla told the Financial Times.

]]> Dainik Bhaskar Files New Draft Prospectus For IPO; Warburg Pincus Is Exiting tag:contentnext.com,2009-08-17:article/419-dainik-bhaskar-files-new-draft-prospectus-with-sebi-warburg-pincus-is-e 2009-08-17T05:22:25Z 2009-08-17T06:41:48Z Sruthijith KK http://contentsutra.com/member/75/ contentSutra http://contentsutra.com/ Copyright (c) 2009, contentSutra DB Corp Ltd, publisher of Dainik Bhaskar, has filed a Draft Red Herring Prospectus (DRHP) for an initial public offering. The DRHP, filed on 14 August with market regulator the Securities and Exchange Board of India, proposes sale of up to 24,781,190 equity shares of face value of Rs10. The issue is for approximately 13.65% of the post-issue capital of the company.

Cliffrose Investments Ltd, a Warburg Pincus affiliate that holds 7.14% stake in the company, is selling and their holding comprises of nearly half of the issue. The other half is the fresh issue of shares by the company, representing a 7.01% stake. Cliffrose, however, has an option of making a pre-IPO placement and necessarily has to sell only shares comprising of 2.99% stake in the company. In that event, the issue will represent only about 10% of the post-issue capital of the company.


]]> DB Corp Ltd, publisher of Dainik Bhaskar, has filed a Draft Red Herring Prospectus (DRHP) for an initial public offering. The DRHP, filed on 14 August with market regulator the Securities and Exchange Board of India, proposes sale of up to 24,781,190 equity shares of face value of Rs10. The issue is for approximately 13.65% of the post-issue capital of the company.

Cliffrose Investments Ltd, a Warburg Pincus affiliate that holds 7.14% stake in the company, is selling and their holding comprises of nearly half of the issue. The other half is the fresh issue of shares by the company, representing a 7.01% stake. Cliffrose, however, has an option of making a pre-IPO placement and necessarily has to sell only shares comprising of 2.99% stake in the company. In that event, the issue will represent only about 10% of the post-issue capital of the company.


The company had earlier filed a draft prospectus in December 2007. On the day (19 December) it was filed, Sensex, the benchmark index of the Bombay Stock Exchange, closed at 19,091.96. In the morning session today, Sensex is at 15,098.90 at the time of writing.

In the prospectus filed in December 2007, the company sought to raise at least Rs660 crore through an issue of 18,800,000 equity shares representing 10.2% of the post-issue capital of the company.

This time however, the company has laid down utilization for only Rs270 crore. Given that this money must come from the issue of 12 million shares by the company, it will have to sell these shares at least at Rs225 per share. The price band and the exact number of shares in the issue will be declared only when the Red Herring Prospectus is filed.

The 2007 prospectus envisaged utilization of Rs460 crore is setting up of new publishing units and expansion and upgradation of existing facilities. Rs85 crore was meant for pre-payment of existing loans. In comparison, the company now sees expenditure of only Rs90 crore from net proceeds in new plants and upgradation, while Rs110 crore will be used for pre-payment of existing loans.

As of 30 June, the company had outstanding secured loans of Rs471.3 crore on a consolidated basis.

For the year ended 31 March, the company posted a consolidated profit after tax of Rs47.7 crore, down from Rs75.8 crore during the previous fiscal. 

]]> Post Demerger, Big FM To List On BSE, NSE; To Become Second Listed Radio Operator tag:contentnext.com,2009-06-04:article/419-post-demerger-big-fm-to-list-on-bse-nse-to-become-second-listed-radio-o 2009-06-04T07:51:37Z 2009-06-04T09:18:55Z Sruthijith KK http://contentsutra.com/member/75/ contentSutra http://contentsutra.com/ Copyright (c) 2009, contentSutra Big FM, the Reliance Adag group FM radio operator that recently received permissions to demerge from parent Adlabs Ltd, will be listed as a separate company under Reliance Unicom, Business Standard reports. Two days ago, Adlabs said it has received permissions from the ministry of information and broadcasting to demerge the radio business. The 45 FM radio license held by Adlabs will be transferred to Reliance Unicom, which will become the second listed radio operator after Entertainment Network India Ltd (Radio Mirchi). Shareholders of Adlabs will receive one share of Reliance Unicom for every share held in Adlabs.

“The idea is to unlock value for the shareholder. There is nothing more we can say at this stage,” Big FM COO Tarun Katiyal told contentSutra. The government is expected to soon finalize the third phase of FM radio license auctions. Some 600 licenses will be up for grabs in a move that will significantly widen the FM radio footprint in the country.

]]> Big FM, the Reliance Adag group FM radio operator that recently received permissions to demerge from parent Adlabs Ltd, will be listed as a separate company under Reliance Unicom, Business Standard reports. Two days ago, Adlabs said it has received permissions from the ministry of information and broadcasting to demerge the radio business. The 45 FM radio license held by Adlabs will be transferred to Reliance Unicom, which will become the second listed radio operator after Entertainment Network India Ltd (Radio Mirchi). Shareholders of Adlabs will receive one share of Reliance Unicom for every share held in Adlabs.

“The idea is to unlock value for the shareholder. There is nothing more we can say at this stage,” Big FM COO Tarun Katiyal told contentSutra. The government is expected to soon finalize the third phase of FM radio license auctions. Some 600 licenses will be up for grabs in a move that will significantly widen the FM radio footprint in the country.

]]> UPDATE: Web18 Files For IPO On Nasdaq; Q-o-Q Drop In Net Loss tag:contentnext.com,2009-01-29:article/419-news-flash-web-18-files-for-ipo-on-nasdaq 2009-01-29T14:45:25Z 2009-01-29T16:46:26Z Sruthijith KK http://contentsutra.com/member/75/ contentSutra http://contentsutra.com/ Copyright (c) 2009, contentSutra Network18 Media and Investments Ltd, the diversified media conglomerate with interests in print, broadcasting, films and Internet, just announced in a filing to the Bombay Stock Exchange that it has confidentially filed a draft registration statement with the US Securities and Exchanges Commission for an initial public offering of American Depository Shares in its Internet subsidiary Web18 Holdings Ltd. This means the filing itself, which usually provides a wealth of information about the company, will not be made public any time soon.

There have been reports of a dilution through ADRs as early as February last year, and Web18’s aggressive expansion was always seen as part of an exercise to create valuation for an eventual listing. The company has an impressive array of destination sites such as ibnlive.com, moneycontrol.com, tech2.com and cricketnext.com. In May last year, the firm launched the aggregator In.com, which, the company claims, has become the second largest Indian portal, citing December 2008 data from Comscore (NSDQ: SCOR).

We spoke to group CFO R.D.S Bawa, who said the filing was made sometime in the last two months and the registration process will take at least another six months to complete. He declined to comment further citing confidentiality norms. When listed, the firm will join Rediff (NSDQ: REDF) and Sify on Nasdaq.

]]> Network18 Media and Investments Ltd, the diversified media conglomerate with interests in print, broadcasting, films and Internet, just announced in a filing to the Bombay Stock Exchange that it has confidentially filed a draft registration statement with the US Securities and Exchanges Commission for an initial public offering of American Depository Shares in its Internet subsidiary Web18 Holdings Ltd. This means the filing itself, which usually provides a wealth of information about the company, will not be made public any time soon.

There have been reports of a dilution through ADRs as early as February last year, and Web18’s aggressive expansion was always seen as part of an exercise to create valuation for an eventual listing. The company has an impressive array of destination sites such as ibnlive.com, moneycontrol.com, tech2.com and cricketnext.com. In May last year, the firm launched the aggregator In.com, which, the company claims, has become the second largest Indian portal, citing December 2008 data from Comscore (NSDQ: SCOR).

We spoke to group CFO R.D.S Bawa, who said the filing was made sometime in the last two months and the registration process will take at least another six months to complete. He declined to comment further citing confidentiality norms. When listed, the firm will join Rediff (NSDQ: REDF) and Sify on Nasdaq.

“The number and dollar amount of ADSs proposed to be offered and sold have not yet been determined,” the release says. Our sources in the company also say that the amount of money to be raised is an open figure right now and will depend on the market conditions as the firm gets closer to the listing. We are somewhat surprised by the timing of the filing given the market conditions, but possibly the company did not want to stop the complex registration process once it was set in motion. One person familiar with regulatory filings, who asked not to be named, said the company can always push back the actual date of listing even after the registration process is complete.

TV18 India Ltd, of which, Web18 is a subsidiary, announced the earnings for the quarter ended 31 December. Following are the figures for the Web18 division. Net loss has dropped by 14% q-o-q to Rs21.2 crore, while the y-o-y comparison shows a 123% rise in net loss. While revenue was at Rs17.4 crore, a marginal dip from Rs17.6 during the same quarter last year, it rose 14% quarter on quarter. While expenses rose 40% y-o-y, the q-o-q rise in expenditure has only been 2%. While rising y-o-y expenses are natural for an expanding firm, flat sales figures raises the question if the firm is not being able to adequately monetize the huge traffic it is claiming. 

The full press release is here.

Related

]]> BSNL Board Clears $10 Billion IPO Plan tag:contentnext.com,2008-08-03:article/419-bsnl-board-clears-10-billion-ipo-plan 2008-08-03T16:25:47Z 2008-08-03T16:43:46Z Cerius Shah http://contentsutra.com/member/57/ contentSutra http://contentsutra.com/ Copyright (c) 2008, contentSutra Well, it seems to have happened earlier than expected. BSNL’s board has reportedly cleared the $10 billion listing. BSNL’s employee union has threatened to go on an indefinite strike if the state owned telco goes ahead with the IPO.

The unions are apparently raging against the privatisation machine, stating BSNL can get a navaratna status without listing for an IPO. As an aside, under a navaratna status, PSU’s have delegated powers by the government to incur fresh expenditure and enter into technical joint venture and strategic alliances. It also allows them to effect organisational restructuring and create or eliminate non-board level posts, in addition to raising debts and setting up JV’s. To sum it up, it allows a PSU to function like a privatized firm. The coveted status has eluded BSNL inspite of being the largest PSU with an authorised capital of Rs 10,000 crore and a net worth of Rs 63,000 crore.

The opposition has caused BSNL to shelve its IPO plans twice but it seems to have gone in for ESOP’s and other HR initiatives to win employee support.

BSNL plans to raise Rs 40,000 crore by selling its 10% stake, giving it a $100 billion (approx Rs 4,00,00 crore) valuation. Besides becoming one of the top telcos worldwide, as ET notes, it would also make it the most valuable Indian telco, pushing it beyond Airtel’s reported $37 billion value. Hopefully a listing will also give it the opportunity to explore other potent commecial opportunities, like, maybe…hmm…unbundling the last mile?

]]> Well, it seems to have happened earlier than expected. BSNL’s board has reportedly cleared the $10 billion listing. BSNL’s employee union has threatened to go on an indefinite strike if the state owned telco goes ahead with the IPO.

The unions are apparently raging against the privatisation machine, stating BSNL can get a navaratna status without listing for an IPO. As an aside, under a navaratna status, PSU’s have delegated powers by the government to incur fresh expenditure and enter into technical joint venture and strategic alliances. It also allows them to effect organisational restructuring and create or eliminate non-board level posts, in addition to raising debts and setting up JV’s. To sum it up, it allows a PSU to function like a privatized firm. The coveted status has eluded BSNL inspite of being the largest PSU with an authorised capital of Rs 10,000 crore and a net worth of Rs 63,000 crore.

The opposition has caused BSNL to shelve its IPO plans twice but it seems to have gone in for ESOP’s and other HR initiatives to win employee support.

BSNL plans to raise Rs 40,000 crore by selling its 10% stake, giving it a $100 billion (approx Rs 4,00,00 crore) valuation. Besides becoming one of the top telcos worldwide, as ET notes, it would also make it the most valuable Indian telco, pushing it beyond Airtel’s reported $37 billion value. Hopefully a listing will also give it the opportunity to explore other potent commecial opportunities, like, maybe…hmm…unbundling the last mile?

Related

]]> Times Of India Group Planning An IPO: Report tag:contentnext.com,2008-05-12:article/419-times-of-india-group-planning-an-ipo-report 2008-05-12T04:59:00Z 2008-05-12T05:44:23Z Nikhil Pahwa http://contentsutra.com/member/39/ contentSutra http://contentsutra.com/ Copyright (c) 2008, contentSutra This is big news: Bennett, Coleman & Co - better known as the Time of India group - is planning for an IPO, reports Business Standard. Ravi Dhariwal, CEO of BCCL has told BS that an IPO is still being debated, and nothing as been decided yet - neither the timing, nor the size of the issue. As per the report, the company had profits of Rs. 1200 crores last fiscal, while I’d heard about Rs. 950-960 crores in profit for 2006-07. A valuation of Rs. 120,000 crores ($30 billion) is being talked about, at almost 30 times revenues. More at BS.

BCCL has diluted equity in individual businesses that are a part of the group:

—Zoom Entertainment Television: 25 percent to Merrill Lynch for $30 million; valuation of $120 million [more]
—ENIL (Radio Mirchi, Times OOH) - BCCL owns 73.2 percent; raised Rs. 194.4 cr via an IPO [link/ Financials]
—Times Internet Ltd : raised $7 million from Westbridge Capital (now Sequoia Capital India)...what happened to that IPO? [more]

Other companies that are a part of the group include Times Global Broadcasting (Times Now), Times Business Solutions…there are newspaper joint ventures with Hindustan Times, a magazine JV with the BBC, and then there’s the investment company Times Private Treaties, with stakes in (reportedly) 175 companies, some of them listed. The group has 6 daily newspapers, including the Times of India, the Economic Times, the Mumbai Mirror, and others. Strangely enough, some as saying that the IPO is maybe a means to retain senior editors, but that’s appears to be unlikely…people in the Times Group make no bones about the fact that marketing that drives their media business, not editorial.

]]> This is big news: Bennett, Coleman & Co - better known as the Time of India group - is planning for an IPO, reports Business Standard. Ravi Dhariwal, CEO of BCCL has told BS that an IPO is still being debated, and nothing as been decided yet - neither the timing, nor the size of the issue. As per the report, the company had profits of Rs. 1200 crores last fiscal, while I’d heard about Rs. 950-960 crores in profit for 2006-07. A valuation of Rs. 120,000 crores ($30 billion) is being talked about, at almost 30 times revenues. More at BS.

BCCL has diluted equity in individual businesses that are a part of the group:

—Zoom Entertainment Television: 25 percent to Merrill Lynch for $30 million; valuation of $120 million [more]
—ENIL (Radio Mirchi, Times OOH) - BCCL owns 73.2 percent; raised Rs. 194.4 cr via an IPO [link/ Financials]
—Times Internet Ltd : raised $7 million from Westbridge Capital (now Sequoia Capital India)...what happened to that IPO? [more]

Other companies that are a part of the group include Times Global Broadcasting (Times Now), Times Business Solutions…there are newspaper joint ventures with Hindustan Times, a magazine JV with the BBC, and then there’s the investment company Times Private Treaties, with stakes in (reportedly) 175 companies, some of them listed. The group has 6 daily newspapers, including the Times of India, the Economic Times, the Mumbai Mirror, and others. Strangely enough, some as saying that the IPO is maybe a means to retain senior editors, but that’s appears to be unlikely…people in the Times Group make no bones about the fact that marketing that drives their media business, not editorial.

]]> Sulekha Plans For An IPO In 2009 tag:contentnext.com,2008-03-24:article/419-sulekha-plans-for-an-ipo-in-2009 2008-03-24T04:34:00Z 2008-03-24T15:07:51Z Nikhil Pahwa http://contentsutra.com/member/39/ contentSutra http://contentsutra.com/ Copyright (c) 2008, contentSutra Sulekha.com, the grand-daddy of Indian community portals, which had raised $10 million from Norwest Venture Partners is considering an IPO in 2009. Business Standard reports that the company expects to have revenues of around $30 million by then. It appears that they’re taking the tried and tested route to monetization - they have city specific classifieds covering 8 cities, and plan to expand coverage to 40 cities. More in BS. Sulekha isn’t alone in the online classifieds game (there’s Google (NSDQ: GOOG), Guruji, Justdial, AskLaila, Infomedia, Kijiji, Click.in among others), but there’s a difference - Sulekha has a fairly loyal community already in place.

There’s been a change of strategy from Sulekha towards monetization—compare the current homepage with this one from 2005 - from being primarily a news and community focused site, they began giving equal space on the front page to classifieds. Since the funding, Sulekha has launched more classifieds services, and a few community initiatives - launched mobile blogging and mobile classifieds, offered a Rs. 1 crore reward to their users, published a book with Penguin, using content from the site, launched a click-to-call classifieds feature on the mobile, and done some tie-ups for classifieds. But it’s also important to grow the user-base: hence the TV ads.

I wonder if there’s been a change of plans for Indian Internet co’s - whether the recent market crashes have resulted in them deferring IPO plans. Looks like Sulekha believes things will be okay in 2009…I wonder if there’s a pre-IPO placement in the offing (as is often the case).

]]> Sulekha.com, the grand-daddy of Indian community portals, which had raised $10 million from Norwest Venture Partners is considering an IPO in 2009. Business Standard reports that the company expects to have revenues of around $30 million by then. It appears that they’re taking the tried and tested route to monetization - they have city specific classifieds covering 8 cities, and plan to expand coverage to 40 cities. More in BS. Sulekha isn’t alone in the online classifieds game (there’s Google (NSDQ: GOOG), Guruji, Justdial, AskLaila, Infomedia, Kijiji, Click.in among others), but there’s a difference - Sulekha has a fairly loyal community already in place.

There’s been a change of strategy from Sulekha towards monetization—compare the current homepage with this one from 2005 - from being primarily a news and community focused site, they began giving equal space on the front page to classifieds. Since the funding, Sulekha has launched more classifieds services, and a few community initiatives - launched mobile blogging and mobile classifieds, offered a Rs. 1 crore reward to their users, published a book with Penguin, using content from the site, launched a click-to-call classifieds feature on the mobile, and done some tie-ups for classifieds. But it’s also important to grow the user-base: hence the TV ads.

I wonder if there’s been a change of plans for Indian Internet co’s - whether the recent market crashes have resulted in them deferring IPO plans. Looks like Sulekha believes things will be okay in 2009…I wonder if there’s a pre-IPO placement in the offing (as is often the case).

]]> OnMobile Lists At Issue Price, Closes 19% Up; Eying Two Overseas Acquisitions - Product IP tag:contentnext.com,2008-02-19:article/419-onmobile-lists-below-issue-price-closes-19-up-eying-two-overseas-acquis 2008-02-19T13:39:00Z 2008-02-20T03:41:53Z Nikhil Pahwa http://contentsutra.com/member/39/ contentSutra http://contentsutra.com/ Copyright (c) 2008, contentSutra OnMobile Global listed today - Scrip Code: 532944 - in the list of ‘B1’ Group Securities on the Bombay Stock Exchange. The stock, which was priced at Rs. 440, closed 18.61 percent up at Rs. 521.90. During the day, it hit a high of Rs. 579.90, and a low of Rs. 421. On the National Stock Exchange, it closed 17.76 percent up at Rs. 518.15, with a high of Rs. 579, and a low of Rs. 411. Going into the listing, there had been fears that the bearish trend might pull the stock down, but the market on the whole spent the entire day in positive territory, and that must have helped.

OnMobile CEO and MD Arvind Rao told CNBC TV18 that the company is looking at two more overseas acquisitions over the next 12-18 months, but they will do acquisitions “very carefully and conservatively”. They’re targeting companies with product IP. He expects a topline growth of 60-65 percent. They plan to expand their R&D team and “crank out more products faster and better”. He says that demand for voice-portal content is huge and relatively inelastic. Watch the video here.

Note: Chart via Rediff (NSDQ: REDF) Moneywiz

]]> OnMobile Global listed today - Scrip Code: 532944 - in the list of ‘B1’ Group Securities on the Bombay Stock Exchange. The stock, which was priced at Rs. 440, closed 18.61 percent up at Rs. 521.90. During the day, it hit a high of Rs. 579.90, and a low of Rs. 421. On the National Stock Exchange, it closed 17.76 percent up at Rs. 518.15, with a high of Rs. 579, and a low of Rs. 411. Going into the listing, there had been fears that the bearish trend might pull the stock down, but the market on the whole spent the entire day in positive territory, and that must have helped.

OnMobile CEO and MD Arvind Rao told CNBC TV18 that the company is looking at two more overseas acquisitions over the next 12-18 months, but they will do acquisitions “very carefully and conservatively”. They’re targeting companies with product IP. He expects a topline growth of 60-65 percent. They plan to expand their R&D team and “crank out more products faster and better”. He says that demand for voice-portal content is huge and relatively inelastic. Watch the video here.

Note: Chart via Rediff (NSDQ: REDF) Moneywiz

Related

]]> Reliance Entertainment Planning An IPO? tag:contentnext.com,2008-02-07:article/419-reliance-entertainment-planning-an-ipo 2008-02-07T04:45:00Z 2008-04-28T10:28:32Z Nikhil Pahwa http://contentsutra.com/member/39/ contentSutra http://contentsutra.com/ Copyright (c) 2008, contentSutra A BIG IPO indeed: Reliance Entertainment, which houses all the media and entertainment properties of the Anil Dhirubhai Ambani Group (ADAG) is finalizing plans for an Initial Public Offering, reports HT. A company spokesperson however, has refused comment, so there’s no official confirmation.

While the company structure is not known, we believe Reliance Entertainment comprises of the following: casual gaming business Zapak, mobile gaming business Jump Games, radio business Big FM, social networking site Big Adda, Movie streaming and rental service Big Flicks, the yet-to-be-launched maps portal Big Maps (details here), film production and exhibition business Adlabs (a listed company), Animation studio Anirights, BIG Music & Home Entertainment, digital and online music co BIG Digital. I think the distribution ventures - IPTV and DTH - will be a part of Reliance Communications, but that’s quite a portfolio of Media and Entertainment ventures if we’ve got the structure right. There was a speculative story in ET a couple of months ago about Reliance Entertainment looking to place 5 percent with Private Equity firms, at a valuation of $1.5 Billion.

The Reliance Entertainment Draft Red Herring Prospectus, if it is filed, should be very interesting indeed.

Note: I’ve updated the list of companies that are a part of Reliance Entertainment, based on information from the company.

]]> A BIG IPO indeed: Reliance Entertainment, which houses all the media and entertainment properties of the Anil Dhirubhai Ambani Group (ADAG) is finalizing plans for an Initial Public Offering, reports HT. A company spokesperson however, has refused comment, so there’s no official confirmation.

While the company structure is not known, we believe Reliance Entertainment comprises of the following: casual gaming business Zapak, mobile gaming business Jump Games, radio business Big FM, social networking site Big Adda, Movie streaming and rental service Big Flicks, the yet-to-be-launched maps portal Big Maps (details here), film production and exhibition business Adlabs (a listed company), Animation studio Anirights, BIG Music & Home Entertainment, digital and online music co BIG Digital. I think the distribution ventures - IPTV and DTH - will be a part of Reliance Communications, but that’s quite a portfolio of Media and Entertainment ventures if we’ve got the structure right. There was a speculative story in ET a couple of months ago about Reliance Entertainment looking to place 5 percent with Private Equity firms, at a valuation of $1.5 Billion.

The Reliance Entertainment Draft Red Herring Prospectus, if it is filed, should be very interesting indeed.

Note: I’ve updated the list of companies that are a part of Reliance Entertainment, based on information from the company.

Related

]]> Report: Web18 To Dilute 10-15 % Equity Via ADR tag:contentnext.com,2008-02-06:article/419-report-web18-to-dilute-10-15-equity-via-adr 2008-02-06T10:13:01Z 2008-02-06T11:07:27Z Nikhil Pahwa http://contentsutra.com/member/39/ contentSutra http://contentsutra.com/ Copyright (c) 2008, contentSutra Web18, the Internet and mobile company of the Network18 group is looking to dilute 10-15 percent equity, reports Indiantelevision.com, quoting a source. The company is planning to file for the ADR (American Depositary Receipt) within two months. Details of Web18’s probable plans here.

We have contacted Network18 Group CEO Haresh Chawla for an official confirmation or denial of this report.

The talk of a Web18 listing has been around for a while, and we’ve mentioned often enough that the company has been trying to build up valuation for a potential listing. The choice of listing in the international markets is an interesting one: possibly because the company is still in investment mode, and doesn’t want to list in India while still making losses. See our earnings coverage of Web18 here. In terms of an international listing there are usually two destinations - NASDAQ, where Sify and Rediff (NSDQ: REDF) are listed, or London’s Alternate Investment Market (AIM), where Eros and DQ Entertainment have listed. Indian law requires that the company list in the Indian markets within three years of turning a profit: Rediff and Sify have to list in India before March 2010.

]]> Web18, the Internet and mobile company of the Network18 group is looking to dilute 10-15 percent equity, reports Indiantelevision.com, quoting a source. The company is planning to file for the ADR (American Depositary Receipt) within two months. Details of Web18’s probable plans here.

We have contacted Network18 Group CEO Haresh Chawla for an official confirmation or denial of this report.

The talk of a Web18 listing has been around for a while, and we’ve mentioned often enough that the company has been trying to build up valuation for a potential listing. The choice of listing in the international markets is an interesting one: possibly because the company is still in investment mode, and doesn’t want to list in India while still making losses. See our earnings coverage of Web18 here. In terms of an international listing there are usually two destinations - NASDAQ, where Sify and Rediff (NSDQ: REDF) are listed, or London’s Alternate Investment Market (AIM), where Eros and DQ Entertainment have listed. Indian law requires that the company list in the Indian markets within three years of turning a profit: Rediff and Sify have to list in India before March 2010.

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]]> Mandatory For Rediff And Sify To List In Indian Markets; Cleartrip Eyes IPO tag:contentnext.com,2008-01-28:article/419-mandatory-for-rediff-and-sify-to-list-in-indian-markets-cleartrip-eyes- 2008-01-28T09:40:00Z 2008-01-28T11:34:50Z Nikhil Pahwa http://contentsutra.com/member/39/ contentSutra http://contentsutra.com/ Copyright (c) 2008, contentSutra Rediff (NSDQ: REDF) and Sify are mandated to list in the Indian stock exchanges, reports Reuters; this is primarily because of a government rule that requires that they list locally within three years of reporting profits. Both companies reported profits in the 2006-07 fiscal. Last July, CNBC-TV18 had claimed that Rediff CFO Joy Basu was heading a team evaluating plans for an IPO in India; CEO Ajit Balakrishnan had denied Rediff needed to list for the money; the company, which is currently listed on Nasdaq, hasn’t decided on when to list in India, though it is imminent. Interesting that this has been reported during the earnings season: the Rediff earnings conference call (around 7pm Indian Standard Time), later this evening, should be interesting.

Other Internet co’s planning to list include People Interactive (Shaadi.com), MakeMyTrip. Added to the queue is online travel agent Cleartrip.com: CEO Sandeep Murthy has said that they have a time frame of 12-24 months for listing. Anupam Mittal, CMD of People Interactive, however says that a rush of listings from Internet portals could “erode share prices by as much as 30 percent.”

Update: Confirmed by a Sify spokesperson: “The Government of India has mandated that companies listed overseas and not listed in India will have to list on the Indian market within three years of posting their first year of profitable results. Therefore we will have to list within three years starting from March 07. We will do so at an appropriate time.”

]]> Rediff (NSDQ: REDF) and Sify are mandated to list in the Indian stock exchanges, reports Reuters; this is primarily because of a government rule that requires that they list locally within three years of reporting profits. Both companies reported profits in the 2006-07 fiscal. Last July, CNBC-TV18 had claimed that Rediff CFO Joy Basu was heading a team evaluating plans for an IPO in India; CEO Ajit Balakrishnan had denied Rediff needed to list for the money; the company, which is currently listed on Nasdaq, hasn’t decided on when to list in India, though it is imminent. Interesting that this has been reported during the earnings season: the Rediff earnings conference call (around 7pm Indian Standard Time), later this evening, should be interesting.

Other Internet co’s planning to list include People Interactive (Shaadi.com), MakeMyTrip. Added to the queue is online travel agent Cleartrip.com: CEO Sandeep Murthy has said that they have a time frame of 12-24 months for listing. Anupam Mittal, CMD of People Interactive, however says that a rush of listings from Internet portals could “erode share prices by as much as 30 percent.”

Update: Confirmed by a Sify spokesperson: “The Government of India has mandated that companies listed overseas and not listed in India will have to list on the Indian market within three years of posting their first year of profitable results. Therefore we will have to list within three years starting from March 07. We will do so at an appropriate time.”

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]]> OnMobile IPO Subscribed 1.31 Times At The End Of Day Two tag:contentnext.com,2008-01-28:article/419-onmobile-ipo-subscribed-131-times-at-the-end-of-day-two 2008-01-28T04:01:00Z 2008-01-28T04:06:39Z Nikhil Pahwa http://contentsutra.com/member/39/ contentSutra http://contentsutra.com/ Copyright (c) 2008, contentSutra Day Two of the OnMobile IPO was better than the first: the Initial Public Offering of India’s largest mobile value added services (VAS) company was subscribed 1.31 times. The Qualified Institutional Buyers was oversubscribed at 2.1791 times, but there doesn’t appear to be much retail investor interest - that segment remained undersubscribed at 0.0199 times, up from 0.0059 times at the end of the first day of the IPO. Let’s see if things improve on the retail side on Day 3 and 4. Details of the subscription here at the NSE, and you can track the subscription live, here (Java required).

]]> Day Two of the OnMobile IPO was better than the first: the Initial Public Offering of India’s largest mobile value added services (VAS) company was subscribed 1.31 times. The Qualified Institutional Buyers was oversubscribed at 2.1791 times, but there doesn’t appear to be much retail investor interest - that segment remained undersubscribed at 0.0199 times, up from 0.0059 times at the end of the first day of the IPO. Let’s see if things improve on the retail side on Day 3 and 4. Details of the subscription here at the NSE, and you can track the subscription live, here (Java required).

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]]> Spice May Raise Dubai Listing; Posturing For a Pan-India License? tag:contentnext.com,2008-01-25:article/419-spice-may-raise-dubai-listing-posturing-for-a-pan-india-license 2008-01-25T17:30:00Z 2008-05-05T05:35:38Z Rafat Ali http://contentsutra.com/member/4/ contentSutra http://contentsutra.com/ Copyright (c) 2008, contentSutra [by Cerius Shah] Spice, who operates in India via a JV with Telekom Malasia, which holds 39.2% stake, plans to raise $500 million through a Dubai IPO.
According to this Bloomberg report, this would make it the first Indian company to sell shares in the Middle East. They plan to shed off 20 percent in the second half of 2009. Funds raised will be used to sell handsets and wireless services including ringtones, mobile entertainment news and also for M&A.

Financial products that adhere to Islamic laws raised $250 billion globally as of December. The Modi’s, who hold 40% stake, plan to use the money to expand from Iran to Indonesia. For those interested in switching jobs, Spice plans to hire 8,000 employees this year, bringing the total to 20,000.

Modi also adds that Vodafone (NYSE: VOD), At&T, Verizon (NYSE: VZ) and China Mobile had offered to buy Spice. The Modi’s were not open to the offer since criteria for most was 51%. All the three operators refused to comment on Modi’s quotes.

Spice also plans to list its VAS and retail unit, Cellebrum and Hotspot respectively, in May or June this year on the Singapore and Bombay stock exchange.

Spice has a market value of $748.8 million and operates in 2 of 23 telecom zones in India. We had previously covered Spice moving TDSAT on the DoT’s refusal to give it a pan-India license, reason being, not enough networth.

The agency report gives a valuation of $500 million for 20% stake of the company. Giving the company a valuation of $2.5 billion. Looks like the Modi’s are building a case for a pan India license by raising networth and building out their network to scale against Bharti and Vodafone.

]]> [by Cerius Shah] Spice, who operates in India via a JV with Telekom Malasia, which holds 39.2% stake, plans to raise $500 million through a Dubai IPO.
According to this Bloomberg report, this would make it the first Indian company to sell shares in the Middle East. They plan to shed off 20 percent in the second half of 2009. Funds raised will be used to sell handsets and wireless services including ringtones, mobile entertainment news and also for M&A.

Financial products that adhere to Islamic laws raised $250 billion globally as of December. The Modi’s, who hold 40% stake, plan to use the money to expand from Iran to Indonesia. For those interested in switching jobs, Spice plans to hire 8,000 employees this year, bringing the total to 20,000.

Modi also adds that Vodafone (NYSE: VOD), At&T, Verizon (NYSE: VZ) and China Mobile had offered to buy Spice. The Modi’s were not open to the offer since criteria for most was 51%. All the three operators refused to comment on Modi’s quotes.

Spice also plans to list its VAS and retail unit, Cellebrum and Hotspot respectively, in May or June this year on the Singapore and Bombay stock exchange.

Spice has a market value of $748.8 million and operates in 2 of 23 telecom zones in India. We had previously covered Spice moving TDSAT on the DoT’s refusal to give it a pan-India license, reason being, not enough networth.

The agency report gives a valuation of $500 million for 20% stake of the company. Giving the company a valuation of $2.5 billion. Looks like the Modi’s are building a case for a pan India license by raising networth and building out their network to scale against Bharti and Vodafone.

]]> OnMobile IPO Subscribed 0.53 Times On Day One tag:contentnext.com,2008-01-24:article/419-onmobile-ipo-subscribed-053-times-on-day-one 2008-01-24T13:47:00Z 2008-01-25T03:35:26Z Nikhil Pahwa http://contentsutra.com/member/39/ contentSutra http://contentsutra.com/ Copyright (c) 2008, contentSutra Day one of the Initial Public Offering of OnMobile Global, India’s largest mobile value added services (VAS) company, was not very successful: the issue is not yet fully subscribed, at 0.53 times. Mouli Raman, CTO of OnMobile told me that that nearly all the investments are from the Qualified Institutional Buyers (QIB) side, as is typically the case in the initial stages of the IPO, and retail investors usually come in towards the end. Raman is quite happy with Day One and says that the response from intitutional buyers they had met has been positive. The QIB segment has been subscribed 0.8777 times, entirely by Foreign Institutional Investors. The Retail investor segment has been subscribed 0.0059 times, with just 19455 shares bid for. Of the 10900545 shares on offer, the company has received 57.6 lakh bids, with 16,560 bids at cut-off. The IPO is open till the 29th of Jan. Not an easy time for an IPO or even a listing, given the volatility in the markets, and the doomsday talk of a US recession. We’ll be tracking the IPO on a daily basis, but you can track the bidding live at the NSE and the BSE (java applet required for both sites).

]]> Day one of the Initial Public Offering of OnMobile Global, India’s largest mobile value added services (VAS) company, was not very successful: the issue is not yet fully subscribed, at 0.53 times. Mouli Raman, CTO of OnMobile told me that that nearly all the investments are from the Qualified Institutional Buyers (QIB) side, as is typically the case in the initial stages of the IPO, and retail investors usually come in towards the end. Raman is quite happy with Day One and says that the response from intitutional buyers they had met has been positive. The QIB segment has been subscribed 0.8777 times, entirely by Foreign Institutional Investors. The Retail investor segment has been subscribed 0.0059 times, with just 19455 shares bid for. Of the 10900545 shares on offer, the company has received 57.6 lakh bids, with 16,560 bids at cut-off. The IPO is open till the 29th of Jan. Not an easy time for an IPO or even a listing, given the volatility in the markets, and the doomsday talk of a US recession. We’ll be tracking the IPO on a daily basis, but you can track the bidding live at the NSE and the BSE (java applet required for both sites).

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]]> OnMobile Raises $30 Million Via Pre-IPO Placement tag:contentnext.com,2008-01-23:article/419-onmobile-raises-30-million-via-pre-ipo-placement 2008-01-23T14:31:00Z 2008-01-23T14:53:01Z Nikhil Pahwa http://contentsutra.com/member/39/ contentSutra http://contentsutra.com/ Copyright (c) 2008, contentSutra OnMobile Global, the mobile value added services company whose IPO opens tomorrow, has reportedly raised $30 million through a pre-IPO placement. Business Standard reports that the total placement is close to 5 percent: 3.54 percent with George Soros’ Quantum Fund, 0.9 percent with Bessemer India Capital and 0.95 percent with Wardferry India Reconnaissance Fund. The OnMobile IPO will open tomorrow in rather uncertain times, with the fear of a US recession looming large over global capital markets. There is uncertainty, and despite today’s recovery, the steep fall over the past few days, from the 20000+ levels to close to 15000 levels, must have shaken retail investor confidence. OnMobile is looking to raise Rs. 350- Rs. 450 crores from the IPO. CIOL adds that the company will allocate 25 percent of its equity to acquisitions and exploring opportunities across the globe.

]]> OnMobile Global, the mobile value added services company whose IPO opens tomorrow, has reportedly raised $30 million through a pre-IPO placement. Business Standard reports that the total placement is close to 5 percent: 3.54 percent with George Soros’ Quantum Fund, 0.9 percent with Bessemer India Capital and 0.95 percent with Wardferry India Reconnaissance Fund. The OnMobile IPO will open tomorrow in rather uncertain times, with the fear of a US recession looming large over global capital markets. There is uncertainty, and despite today’s recovery, the steep fall over the past few days, from the 20000+ levels to close to 15000 levels, must have shaken retail investor confidence. OnMobile is looking to raise Rs. 350- Rs. 450 crores from the IPO. CIOL adds that the company will allocate 25 percent of its equity to acquisitions and exploring opportunities across the globe.

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]]> OnMobile To Raise Rs. 350-450 Crores From IPO; Price Band - Rs. 425-450; Opens 24th Jan tag:contentnext.com,2008-01-18:article/419-onmobile-to-raise-rs-350-450-crores-from-ipo-price-band-rs-425-450-open 2008-01-18T05:51:00Z 2008-01-18T07:16:03Z Nikhil Pahwa http://contentsutra.com/member/39/ contentSutra http://contentsutra.com/ Copyright (c) 2008, contentSutra OnMobile Global, India’s largest mobile Value Added Services (VAS) company, is looking to raise Rs. 350-450 crores from its Initial Public Offering, with shares priced between Rs. 425 and Rs. 450 for shares of face value Rs. 10 each. The issue will be open for subscription between January 24th and 29th 2008. The issue would constitute 18.99 percent of the post-Issue paid-up capital of the company, once listed on the BSE and NSE; it includes a fresh issue of 8,613,356 shares, and the sale of 2,287,189 shares from Onmobile Systems Inc.

OnMobile was incubated at Infosys, and the company has opposed the IPO; OnMobile CEO Arvind Rao tells CNBC-TV18 that promoters will hold a significant part of the company, though he doesn’t confirm whether Infosys is selling its stake or not. The company will use the money to make infrastructure investments in its offices at Bangalore, Mumbai and Delhi, set up R&D centres, repay loans and expand their team. The proceeds will also be used for expanding international operations—offices in London and the US—and acquisitions with the primary goal of acquiring products. Last year, OnMobile had acquired VoxMobili, reportedly for $35.12 Million.

The companys Profit after tax was Rs. 337.2 million in 2006-07, up from Rs. 140.2 million in 2005 at a CAGR of 55.1 percent. 90 percent of 2006-07 revenue was from revenue sharing agreements with carriers. 81 percent of revenue is from its top five customers, Over 40 percent from music, mostly Caller Ring Back Tones.

The Issue has been graded above average by CRISIL and has been assigned a grade of 4/5 (download the report here). 30 percent of the issue will be allocated to Retail investors, while 60 percent will be offered to Qualified Institutional Buyers (QIBs) (5 percent to Mutual Funds) and not less than 10 percent to Non-Institutional bidders.

Press Release | DRHP | CRISIL Report

]]> OnMobile Global, India’s largest mobile Value Added Services (VAS) company, is looking to raise Rs. 350-450 crores from its Initial Public Offering, with shares priced between Rs. 425 and Rs. 450 for shares of face value Rs. 10 each. The issue will be open for subscription between January 24th and 29th 2008. The issue would constitute 18.99 percent of the post-Issue paid-up capital of the company, once listed on the BSE and NSE; it includes a fresh issue of 8,613,356 shares, and the sale of 2,287,189 shares from Onmobile Systems Inc.

OnMobile was incubated at Infosys, and the company has opposed the IPO; OnMobile CEO Arvind Rao tells CNBC-TV18 that promoters will hold a significant part of the company, though he doesn’t confirm whether Infosys is selling its stake or not. The company will use the money to make infrastructure investments in its offices at Bangalore, Mumbai and Delhi, set up R&D centres, repay loans and expand their team. The proceeds will also be used for expanding international operations—offices in London and the US—and acquisitions with the primary goal of acquiring products. Last year, OnMobile had acquired VoxMobili, reportedly for $35.12 Million.

The companys Profit after tax was Rs. 337.2 million in 2006-07, up from Rs. 140.2 million in 2005 at a CAGR of 55.1 percent. 90 percent of 2006-07 revenue was from revenue sharing agreements with carriers. 81 percent of revenue is from its top five customers, Over 40 percent from music, mostly Caller Ring Back Tones.

The Issue has been graded above average by CRISIL and has been assigned a grade of 4/5 (download the report here). 30 percent of the issue will be allocated to Retail investors, while 60 percent will be offered to Qualified Institutional Buyers (QIBs) (5 percent to Mutual Funds) and not less than 10 percent to Non-Institutional bidders.

Press Release | DRHP | CRISIL Report

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