(Adds details from filing)
July 14 Online payment company MOL Global Inc,
majority-owned by Malaysian billionaire Vincent Tan, filed with
U.S. regulators on Monday to raise about $300 million in an
initial public offering of American Depositary Shares.
Also known as Money Online, MOL is expanding in Southeast
Asia and plans to tap Malaysian government's push to drive
e-payments in preparation for a new consumption tax that kicks
in next year. (reut.rs/1jsgxJN)
Tan, one of Malaysia's richest men who made a fortune
running businesses from lotteries to hotels, owns a 69.3 percent
stake in the company.
MOL, which snapped up Friendster Inc - one of the earliest
social networking sites - in 2009 to boost its online reach,
said in January it processes an annual payment volume of over
half a billion U.S. dollars.
MOL is the largest e-payment enabler for online goods and
services in Southeast Asia by payment volume, according to
market research firm Frost & Sullivan.
MOL is also present in India and Australia. It turned its
focus to the U.S. and Brazilian markets by taking up a majority
stake in Silicon Valley-based e-payment company Rixty Inc in
2012 for an undisclosed sum.
The company reported revenue of 171.5 million Malaysian
Ringgit ($54 million) for 2013, a 79.4 percent rise from the
MOL's profit rose to 18.7 million Malaysian Ringgit in 2013
from 6 million a year earlier.
Citigroup, Credit Suisse, Deutsche Bank Securities and UBS
Investment Bank are underwriting the IPO, the Kuala Lumpur-based
company told the U.S Securities and Exchange Commission in a
preliminary prospectus. (1.usa.gov/1jJjmql)
The company said it intends to use the proceeds from the
offering to repay debt and for general corporate purposes.
The filing did not reveal how many shares the company
planned to sell or their expected price. The company said it
intends to list its ADSs on the Nasdaq but did not reveal its
symbol in the filing.
The amount of money a company says it plans to raise in its
first IPO filings is used to calculate registration fees. The
final size of the IPO could be different.
($1 = 3.1790 Malaysian Ringgits)
(Reporting by Amrutha Gayathri in Bangalore; Editing by Don