365 Corp Plc, a UK-based web site content provider, has filed for an initial public offering on the London Stock Exchange and hopes to raise 50m pounds ($83.8m). CEO Dan Thompson said that although the company is looking to float around 25% of the firm, it would be wrong to deduce that this values 365 around the 200m pound mark ($335m). Reports last month put the figure nearer 500m pounds ($838m) but Thompson would not be drawn into siding with one or the other. Sources close to the company have said that between 250m and 300m pounds ($418m and $502m) is a fairer estimate.
The London-based firm was also cagey about what new content areas it would explore. 365 calls its particular sectors passion centers and focuses on three areas, sports, lifestyle and entertainment. With content in English, French, Spanish and Afrikaans for its South Africa-based rugby service, 365 is present in five countries and aims to step up territorial coverage and languages offered.
Germany is the next major market and the company is developing a German language version. South America will be another area for expansion from 365Æs base in Chile, which it acquired as part of its purchase of Symphony Telecommunications in February. Thompson said the firm was also considering the large Portuguese-speaking population in South America.
365 has 750,000 users, says Thompson, up from 230,000 at the beginning of 1999, and the company will increase marketing spend especially approaching Christmas to keep numbers climbing. Thompson did not commit 365 to a strategy in terms of partnering with technology firms, but did say that 365 was essentially a content firm and it needed to either invest itself or find a partner to develop its products for a television medium.
Cazenove & Co is the bookrunning lead manager with Durlacher Ltd joint lead manager and joint broker to the global offer.
