The WorldCall Telecom Ltd plans to start initial public offering of Rs 690 million soon, through the Karachi Stock Exchange. WorldCall Telecom Ltd offers a compelling and attractive opportunity for investors interested in high growth telecommunication sector in Pakistan. WorldCall Limited (WTL) would focus on long distance and international (LDI) telephone and wireless local loop (WLL) services as core business.
WTL is offering its 69 million ordinary shares at par, ie at an offer price of Rs 10 per share through initial public offering towards the end of June. The discounted cash flow valuation is Rs 47.9 per share. The valuation of the business has been carried out using discounted cash flow method.
Pak Oman Investment Co, Union Bank and Crescent Standard Investment, together are the advisers and arrangers of the IPO. KASB Bank is acting as the placement agent to the said IPO. The proceeds of the IPO would be utilised to partly finance the LDI as well as WLL projects.
WTL has been awarded the LDI and WLL licences by Pakistan Telecommunication Authority in July 2004 and November 2004 respectively.
It is the first company to successfully deploy its LDI network post-deregulation and start service in November 2004.
The WLL business would provide local, nation-wide and international telephony using
wireless infrastructure for access network.
The WLL service would be positioned as a fixed line alternative with additional features such as limited mobility, SMS, data/internet, etc, and a limited mobility cellular service at fixed line rates.