Onmobile plans Rs 600 cr IPO

Posted on | June 28, 2007 |

Bangalore-based VAS provider OnMobile is planning to enter the capital market this financial year with an IPO of Rs 500-600 crore!

Onmobile is a network-level VAS provider and powers voice portals of most Indian operators. The company is gearing up to become an end-to-end VAS solution provider, intending to invest the IPO proceeds for its foray into the GPRS segment.

According to this ET article, Onmobile’s annual revenues are approx. $50 million (around Rs 210 crore) and the estimated value of the company is approx. $300 million (around Rs 1,250 crore).

Infosys has a 14% stake in the company. Onmobile had secured a strategic financing of $27.8 million (around Rs 115 crore) from Deutsche Bank, Goldman Sachs and Polygon Investment Partners late last year. This was the second round of funding for the company following its $18 million (around Rs 73 crore) first round in 2000 secured from Argo Global and HNQ Asia-Pacific.

The company’s competitors include IMI Mobile, Cellebrum and Mauj.

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