Offer to open to investors on 3 January 2013
Sulaymaniyah, Iraq – ASIACELL COMMUNICATIONS PJSC (“Asiacell” or the “Company”), a leading provider of quality mobile telecommunications services in Iraq, today announced further details about its upcoming landmark share offer (the “Offer”).
The Offer, which is expected to be the first of its kind in Iraq and one of the biggest share offers in the Middle East region in the past year, will consist of 67.503 billion shares, representing 25% of the Company’s share capital. The shares will be offered at a price of a least IQD 22 per share.
A number of Asiacell’s founding shareholders will offer existing shares, representing 25% of the Company’s share capital, to individual and institutional investors that have a trading account within Iraq.
The Offer will open for subscription on Thursday 3rd January 2013 and will close on Saturday 2ndFebruary 2013. The admission of these Shares, representing 25% of the Company’s existing share capital, to the Official List of Securities maintained by the Iraq Securities Commission (“ISC”) and to trading on the Iraq Stock Exchange (“ISX”) is expected to commence on Sunday 3rd February 2013.
Commenting on the announcement, Mr. Faruk M. Rasool, Managing Director of Asiacell, said:
“This is another step closer to our share offer which is a significant development for us as a company. We’ve built a stable and growing business across Iraq and we’re delighted to be able to provide the chance for all Iraqis to participate in our future by taking a stake in Asiacell. We’re confident in our future as Iraq’s mobile industry continues to grow and we look forward to welcoming a new set of investors in 2013.”
How to participate
The offer is open to all investors, individuals and institutions, provided they have a trading account in Iraq.
Investors who would like to participate in the Asiacell Offer should contact a broker registered with the ISX (the “Brokers”) and obtain and read in full the Offer leaflet which is available from the Brokers and from Asiacell stores. Investors can subscribe by placing a purchase order to acquire Shares at a price of at least IQD [•] per share, between the 3rd January and the 2nd February 2013, with one of the Brokers.
Investors can follow these simple steps:
1-Open a trading account with one of the Brokers. For a full list of Brokers, see the ISX web site www.isx-iq.net
2-The Brokers will be able to provide investors with a buy-order form which must be completed in full and returned to the Broker.
3-Full payment for the Shares must be made with the submission of the buy-order form.
Advisers
Rabee Securities, Iraq’s – premier independent brokerage, is acting as sole distributor and selling agent and Melak Iraq, an Iraqi Financial Advisory Firm, is sole adviser to the Company in respect of the Offer.
For further information please contact:
| Media: |
|
| FTI Consulting, Middle East |
|
| John Hobday |
+971 50 464 8706 |
| Hugh Barker |
+971 50 248 7620 |
| Maie Ahmed |
+971 56 775 7639 |
| FTI Consulting, London |
+44 20 7831 3113 |
| Neil Doyle |
+44 777 1978 220 |
| Jessica Liebmann |
+44 779 5504 678 |
Notes to Editors
The Group
Asiacell holds a 15-year operating license issued by the Communications and Media Commission of Iraq in 2007 (the “License”), entitling it to build and operate a nationwide mobile telecommunications network. In 2009, Asiacell became the first mobile provider in Iraq to achieve nationwide coverage, serving all 18 of Iraq’s governorates. Asiacell serves Iraq’s capital, Baghdad, and all other major Iraqi cities, with a network that covers 97% of the Iraqi population. In 2011, Asiacell was recognized as the ‘best GSM operator’ in Iraq by the Ministry of Communications (the “MoC”).
1-Asiacell predominantly offers prepaid mobile telecommunications services accounts for the majority of its subscriber base.
2-Asiacell enjoys a 43% revenue market share as end of September, 2012, and has 9.9 million individual and corporate subscribers.
3-Asiacell has consistently delivered strong financial performance with CAGR revenue growth of 22% from 2009 to 2011.
-According to Iraqi GAAP, in the first 9 months 2012, the Company generated revenues of 1,564 billion Iraqi dinars. Financial Year 2011 (12 months) revenue was 1,836 billion Iraqi dinars.
-EBITDA in the first 9 months 2012 was 824 billion Iraqi dinars. Financial Year 2011 (12 months) EBITDA was 926 billion Iraqi dinars.
-Net income in the first 9 months 2012 was 474 billion Iraqi dinars. Financial Year 2011 (12 months) net income was 504 billion Iraqi dinars.
-Asiacell has an ARPU of 18,000 Iraqi dinars- per month, during the first 9 months 2012.
4-Asiacell is 53.9% owned by Qatar Telecom Company (‘Qtel’) Q.S.C. Qtel has presence in 17 countries and 89.2 million customers, of which 9.9 million are in Iraq. Asiacell contributed 19% of Qtel’s revenue and 26% of net profits in 2011.
5-In addition to the classic Prepaid Line package, which serves over 53% of subscribers, the Company’s prepaid service offering contains a number of tailored packages aimed at different market segments – including young people, women and an innovative service aimed at the millions of religious pilgrims who visit Iraq each year. Asiacell also provides postpaid services to corporate and individual subscribers.
6-Asiacell maintains a network of 84 main distributors and its services are available at over 12,000 individual points of sale across Iraq.
7-The Company also operates 20 directly-owned branded retail outlets, and a growing network of franchised stores.
