OnMobile expects to raise Rs 47 cr through open offer

Mobile value-added solutions provider OnMobile today said it aims to raise Rs 47.6 crore through an open offer by diluting 10.03% stake.

 

"The voluntary open offer for acquisition of up to 11,900,000 equity shares represents 10.03% of the total fully diluted voting share capital from the public shareholders of OnMobile Global," OnMobile said in a BSE filing.

 

The offer price has been set at Rs 40 per share, aggregating to Rs 47.60 crore, it added.

 

The company has appointed Kotak Mahindra Capital Company as the manager to the offer.

 

OnMobile will provide further details on the open offer by February 18, 2014 in a detailed public statement, it said.

 

For the quarter ended December 2013, OnMobile had posted a net loss of Rs 8.37 crore against a profit of Rs 20.64 crore in the year-ago period.

 

Its revenues, however, rose 28% to Rs 225.47 crore in the reported quarter from Rs 176.16 crore in the year-ago period.

 

The company's loss during the quarter included a net loss of Rs 10.96 lakh, which includes depreciation and amortisation on asssets acquired of Rs 6.49 crore pertaining to business acquired from Livewire Mobile.

 

Last year, the company had acquired US-based Livewire Mobile for $17.8 million (about Rs 106 crore) aimed at gaining a stronger foothold in the North American market, which is considered a high music consuming market with high average revenue per unit (ARPU).