Net mobile AG, a German mobile phone software company, plans to sell up to 2.2 million shares for 8.50 euros each in an initial public offering (IPO) on July 12, a key shareholder said in a statement on June 22. Net mobile makes software for companies that want to use text messages, ring tones or games for marketing or entertainment. Its sales were 33 million euros ($40 million) in the fiscal year 2004/2005, shareholder net AG said.
The IPO will consist of 2 million new shares from a share capital increase, net AG said. The existing shareholders can sell up to 200,000 additional shares if the issue is oversubscribed. The volume would be 18.7 million euros if all shares are sold.
If all 2.2 million shares are sold, net mobile will have 4.124 million shares outstanding.
Prior to the IPO, net AG owns 35 percent in net mobile. Private equity firm Wellington Partners owns 42 percent, while Gruenwald Equity Partners owns 15 percent. Net mobile's management owns the remaining 8 percent.
Shares in net mobile would be listed in the M:access market segment of the Munich stock exchange. Munich-based VEM Aktienbank is managing the offering.
Net AG shareholders have the optional right to purchase one of the new net mobile shares for every 12 net AG shares they own in the subscription period from June 25 to July 4.