OnMobile Lists At Issue Price, Closes 19% Up; Eying Two Overseas Acquisitions – Product IP

OnMobile Global listed today – Scrip Code: 532944 – in the list of ‘B1’ Group Securities on the Bombay Stock Exchange. The stock, which was priced at Rs. 440, closed 18.61 percent up at Rs. 521.90. During the day, it hit a high of Rs. 579.90, and a low of Rs. 421. On the National Stock Exchange, it closed 17.76 percent up at Rs. 518.15, with a high of Rs. 579, and a low of Rs. 411. Going into the listing, there had been fears that the bearish trend might pull the stock down, but the market on the whole spent the entire day in positive territory, and that must have helped.

OnMobile CEO and MD Arvind Rao told CNBC TV18 that the company is looking at two more overseas acquisitions over the next 12-18 months, but they will do acquisitions “very carefully and conservatively”. They’re targeting companies with product IP. He expects a topline growth of 60-65 percent. They plan to expand their R&D team and “crank out more products faster and better”. He says that demand for voice-portal content is huge and relatively inelastic. Watch the video here.

Note: Chart via Rediff (NSDQ: REDF) Moneywiz