Feeds

Virgin Mobile prices IPO at up to £713m

Trimming expectations

  • alert
  • submit to reddit

SANS - Survey on application security programs

Virgin Mobile today announced a target range of 235p-285p per share for its stock market float. This values the mobile virtual network operator at £588m to £713m ($1.08bn - $1.32bn) net and is less than expected. Analysts had targeted up to £1bn for the float. The enterprise value of the business is set at £900m and £1.025bn, with Virgin Mobile carrying £311m in debt on its books. It makes its debut on the London Stock Exchange on 21 July.

Virgin Mobile will float 37-47 per cent of the business, depending on demand. This will give Richard Branson's Virgin Group £230m to £275m. The City expects Branson to pump the money into a new US domestic airline, which launches next year.

And let's not forget T-Mobile, which handles the technical stuff for Virgin Mobile, leaving its customer to concentrate on the billing and customer relationships. It gets 25 per cent of any equity value over £550m, capped at £100m, so it will be very disappointed if Virgin Mobile is pumped out at the lower price.

There's a lot more background in the press release. You are not supposed to read it if you live in the US, Canada, Australia or Japan. So access may be blocked if you come from these countries. ®

Related stories

Virgin Mobile gives it up for charity
Virgin will float next month
T-Mobile and Virgin settle long-running dispute

High performance access to file storage

More from The Register

next story
Sorry London, Europe's top tech city is Munich
New 'Atlas of ICT Activity' finds innovation isn't happening at Silicon Roundabout
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
Did a date calculation bug just cost hard-up Co-op Bank £110m?
And just when Brit banking org needs £400m to stay afloat
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
prev story

Whitepapers

Designing a defence for mobile apps
In this whitepaper learn the various considerations for defending mobile applications; from the mobile application architecture itself to the myriad testing technologies needed to properly assess mobile applications risk.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Securing web applications made simple and scalable
In this whitepaper learn how automated security testing can provide a simple and scalable way to protect your web applications.