Press Review >>> April 2000

 

 

 

 
Southern Online comes out with Rs 1.34 cr IPO - Indian Express - April 26, 2000

NEW INDIAN EXPRESS (April 26, 2000)

Southern Online services Limited, the Hyderabad-based Internet service provider, is coming out with a public issue of 13,40,000 shares of Rs 10 each for cast at par (aggregating Rs 1.34 crore) to part finance the company's project to set up facilities fir ISP operations backed by international gateway.

The issue is slated to open on May 5 and stay in for five days (up to May 9).Incidentally, this is the first IPO by an Indian ISP. The Rs 5.97 crore project will also support company's developmental activities on e-commerce front, according to N. Satish Kumar, executive director, Southern Online told reporters on Monday. While promoters, relatives and friends will contribute Rs 4.02 crore, Central Bank of India will lend Rs 0.617 crore, he said.

The company is one among the 17 companies which have been granted permission by the government to set up its own gateway services. Southern Online, which has started operations in 1999, has about 3,800 customers including 13 corporate subscribers. The premier ISP's services spread across the twin cities, Vijayawada, Guntur, Kakinada, Rajamundry, Khammam and Karimnagar. " We will open Internet service in Tirupati and Visakhapatnam, besides launching mobile services," Kumar said. The ISP, which has introduced Internet-through cable network at Basheerbagh in Hyderabad, will extend the facility to other parts of the city, he said.