i-mate™, the specialists in Microsoft Windows Mobile devices enhanced by exclusive content, services and support with global headquarters in Dubai Internet City, UAE today announces its intention to seek admission to trading on AIM (the “IPO”). It is intended that the IPO will be completed before the end of 2005. The flotation will be effected by means of a placing of new and existing ordinary shares to institutional investors in the United Kingdom and certain other jurisdictions.
The IPO will enable i-mate plc (the “Company”) to raise new capital and continue its track record of strong organic growth. The bulk of the proceeds will be used as additional working capital to support the forecast growth in the business, as well as to further drive product development. Jim Morrison, the CEO and founder, will retain the majority of his shareholding. In addition, a number of employees will receive nominal cost options reflecting their contribution to the business.
i-mate also announces that Bernard Cragg has been appointed as non-executive chairman. Bernard was Finance Director of Carlton Communications from 1987 to 2001, is chairman of Datamonitor plc and also holds a number of non-executive positions.
JPMorgan Cazenove Limited (“JPMorgan Cazenove”) is acting as sole Nominated Adviser and Broker to the Company.
In the financial year ended 31 March 2005, the i-mate group of companies (the “Group”) achieved total sales of US$136 million and profits before tax of US$14.4 million. This represents a 259 per cent. growth in revenue year on year compared to the year ended 31 March 2004.
Commenting on the proposed IPO, Jim Morrison said: "The i-mate brand is at an exciting stage of its development in a fast-growing industry. Our sales are growing rapidly and we are excited by our new range of devices using cutting edge technology, bundled with supportive content, software and services – effectively creating a complete, secure mobile solution. In the past 12 months we have opened in a number of new markets, including the UK and the US. A further range of new devices offering expanded functionality based on the latest technology will be launched very shortly.”
About i-mate
Overview of business
The Group is a developer and supplier of high-end wireless integrated Pocket PCs and Smartphones, specialising in the Microsoft® Windows Mobile™ operating system. These devices are sold under the i-mate™ brand, supported by related content and services. The Group’s devices, services and content offering are targeted at both business and individual end users.
The business was founded in 2001 by Jim Morrison. Jim, who has over 20 years experience in telecoms (principally with Cable & Wireless and BT), was a key member of the team that conceived and designed the product which became the O2 xda. The Group’s senior management are predominantly from a telecoms network operator background and worked together at BT and BT Cellnet.
The Group’s objective is to establish i-mate as the brand of choice in the rapidly expanding Microsoft® Windows Mobile™ device market.
The Group’s activities can be summarised under the following broad categories:
• the design and development of a broad range of Microsoft® Windows Mobile™ OS devices in collaboration with its manufacturing partner;
• the distribution of devices through a multi-channel network and the provision of customised solutions to meet specific corporate and network operator requirements; and
• the provision of aftermarket support and value-added services through its technical support centre and its Club i-mate website.
