OnMobile Global IPO opens for subscription

OnMobile Global, a leading provider of telecommunications value added software products and services in India with an expanding international presence, is 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.

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.

At least 60% of the issue will be allocated on a proportionate basis to qualified institutional buyers, out of which 5% shall be available for allocation on a proportionate basis to mutual funds only. Further, not less than 10% of the issue will be available for allocation on a proportionate basis to non-institutional bidders and not less than 30% of the issue will be available for allocation on a proportionate basis to retail individual bidders.

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.