iMerchants Ltd. (IPO Fact Sheet) (March 29, 2000)

iMerchants Limited (Listing fact sheet)

”@

iMerchants Limited (Listing fact sheet)

”@
”@

Listing Information and Time Table

”@
”@

iMerchant is an e-commerce consulting and services provider with wide spectrum on B to B (Business to Business) and B to C (Business to Consumer) infrastructural software services catering for Asian businesses. The company is due for its flotation and going to be listed on the GEM board by end of this month.

”@
”@

(Subject to adjustment)

”@
”@

Total shares to be offered for placing

290,630,000

”@
”@

New issue

232,500,000

”@
”@

Old shares

58,130,000

”@
”@

Offer price

HK$1.23 to 1.48

”@
”@

Capital to be raised

around 350m to 430m

”@
”@

Market capitalization

1.4b to 1.7b

”@
”@

Sponsor and manager

BNP Prime Peregrine

”@
”@

Time for application

28th March

”@
”@

Trading date

31st march

”@
”@

GEM stock code

8009

”@
”@

Company background

”@
”@

The company was established in 1996 aiming at making itself a forerunner in electronic commerce services providing to Asian businesses. It has been acting as a consultant and outsourcing partner to provide e-commerce solutions to clients since its foundation.

”@
”@

Business

”@
”@

iMerchants principally provides e-commerce business solutions, which currently comprise consulting services and services bureau to companies in Asia.

”@
”@

E-Commerce consulting for clients

”@
”@

-Developing internet-based solutions

”@
”@

-Defining online strategies

”@
”@

-Developing e-commerce structures and integrating applications with clients”¦ other system

”@
”@

Service Bureau

”@
”@

-Offering e-commerce outsourcing services by operating an end to end infrastructure process.

”@
”@

Competitive advantages:

”@
”@

-Strong business partnership-includes Microsoft,IBM,Intel,Sun Micro and PCCW etc.

”@
”@

-Early mover with solid history on e-commerce solutions

”@
”@

-Credibility with customers through tracked results

”@
”@

-A clear client proposition to enable rapid entry to market and cost saving

”@
”@

-Ability to offer flexible solutions

”@
”@

-Effective sales and marketing

”@
”@

Risk factors

”@
”@

-The Group has a limited operating history and scale

”@
”@

-The Group has a history of losses which are expected for the foreseeable future

”@
”@

-The Group may not be able to successfully implement its strategies for future growth as planned due to uncontrollable factors in the e-commerce market

”@
”@

-Intended used of proceed from flotation may not be used as planned

”@
”@

-The Group”¦s computer system is non-year 2000 compliance

”@
”@

-The Group may not be able to successfully keep pace with rapid change in technology

”@
”@

Future Plans and strategies

”@
”@

Future plans

”@
”@

-Develop a portfolio of ventures by investing in e-commerce ventures

”@
”@

-Develop more alliances in synergistic way

”@
”@

Key strategies

”@
”@

-Enhance services offering

”@
”@

-Enhance knowledge creation and management processes

”@
”@

-Expand capacity to deliver service

”@
”@

-Pursue geographic expansion in Asia

”@
”@

-Invest in business development and market

”@
”@

-Strengthen corporate infrastructure

”@
”@

Use of Proceed

”@
”@

79m will be used to purchase new hardware and software

”@
”@

38m for advertising and marketing

”@
”@

32m for expanding the Group”¦s capacity to deliver services

”@
”@

34m for opening up office in Asia and the US

”@
”@

60m for acquisition and investment

”@
”@

Balance for general working capital

”@
”@

Summarized Financials

”@
”@

Year to 31st March (HK$”¦000)

98

99

Ten months ended 31st Jan 00

”@
”@

Turnover

2799

4655

10374

”@
”@

Net P/(L)

(3,569)

(4,657)

(4,412)

”@
”@

Loss per share (cents)

(0.38)

(0.5)

(0.47)

”@





Research Home Page


If you would like to know more about a specific stock, you can ask us by emailing:Mr Kenny Tang.

This circular is for information only. The information and opinion presented are believed to be accurate but are not guaranteed and without legal responsibility. Neither the information, nor any opinion expressed, constitutes a solicitation by us of the purchase or sale of any securities or futures contract, or options thereon.