Transcript Presentation to Client Name

ASBISc Enterprises Plc
Roadshow presentation
October 2007
IBD\ING\War O\P\X20070976.9
7/17/2015 10:17 PM
Important notice
NEITHER THIS PRESENTATION NOR ANY COPY OF IT NOR THE INFORMATION CONTAINED IN IT MAY BE TAKEN OR TRANSMITTED INTO THE UNITED STATES, CANADA,
AUSTRALIA OR JAPAN OR DISTRIBUTED, DIRECTLY OR INDIRECTLY, IN THE UNITED STATES, CANADA, AUSTRALIA OR JAPAN OR TO ANY RESIDENT THEREOF.
THE DISTRIBUTION OF THIS PRESENTATION IN OTHER JURISDICTIONS MAY BE RESTRICTED BY LAW, AND PERSONS INTO WHOSE POSSESSION THIS PRESENTATION
COMES SHOULD INFORM THEMSELVES ABOUT, AND OBSERVE, ANY SUCH RESTRICTIONS.
The information in this presentation is given in confidence and the recipients of this presentation should not base any behaviour which would amount to “market abuse” or “insider dealing” on
the information in this presentation until after the information has been made generally available. Nor should the recipient use the information in this presentation in any way which would
constitute “market abuse” or “insider dealing” under the Financial Services and Markets Act 2000.
This presentation is not an advertisement and does not constitute or form part of, and should not be construed as, any offer for sale or subscription of, or solicitation of any offer or invitation to
buy or subscribe for, underwrite or otherwise acquire, any securities of ASBISc Enterprises Plc (the “Company”), nor should it or any part of it form the basis of, or be relied on in connection
with, any contract or commitment whatsoever. Any such offer, subscription, solicitation or invitation will be made by means of a prospectus (the “prospectus”), to be issued in due course in
connection with the proposed offering described in this presentation (the “offering”), and any decision to purchase or subscribe for securities in connection with the proposed offering should be
made independently of this presentation and solely on the basis of the information contained in such prospectus, including any amendments or supplements thereto. The prospectus will be
made available in due course and may contain information that differs materially from the information in this presentation. This presentation does not constitute a recommendation regarding
the securities to be offered in the offering.
This presentation has been made solely for the recipient’s information and background and is subject to amendment. This presentation (or any part of it) may not be reproduced or distributed,
or passed on, or the contents otherwise divulged, directly or indirectly, to any other person (excluding the relevant person’s professional advisors) or published in whole or in part without the
prior written consent of the Company and ING.
This presentation and information contained herein are not an offer of securities for sale in the United States and are not for publication or distribution to persons in the United
States (within the meaning of Regulation S under the US Securities Act of 1933, as amended (the “Securities Act”)).
The securities proposed to be offered in the offering have not been and will not be registered under the Securities Act and may not be offered or sold in the United States except
pursuant to an exemption from, or transactions not subject to, the registration requirements of the Securities Act. The securities proposed to be offered in the offering have not
been and will not be registered under the applicable securities laws of any state or jurisdiction of Australia, Canada or Japan, and subject to certain exceptions, may not be offered
or sold within Australia, Canada or Japan or to or for the benefit of any national, resident or citizen of Australia, Canada or Japan.
Certain statements in this presentation constitute “forward-looking statements”. These statements, which contain the words “anticipate”, “believe”, “intend”, “estimate”, “expect” and words of
similar meaning, are not guarantees of future performance and are subject to risks and uncertainties that may cause actual results to differ materially. These risks and uncertainties include,
among other factors, securing necessary governmental and other approvals, the satisfaction of the conditions of the proposed offering, changing business or other market conditions and the
prospects for growth anticipated by the makers of such statements. These and other factors, such as those described in the prospectus, could adversely affect the outcome and financial
results of the plans and events described herein. As a result, undue reliance should not be placed on such forward-looking statements, which speak only as of the date hereof, and are not
required to be updated or revised, whether as a result of new information, future events or otherwise.
This communication is only directed at (i) persons outside the United Kingdom, (ii) investment professionals falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial
Promotion) Order 2001, as amended (the “Order”) or (iii) high net worth entities, and other persons to whom it may lawfully be communicated, falling within Article 49(2)(a) to (d) of the Order
(all such persons together being referred to as “relevant persons”). Any person who is not a relevant person should not act or rely on this communication or any of its contents.
ING is acting for ASBISc Enterprises Plc and no-one else in connection with the proposed offering and will not be responsible to any other person for providing the protections afforded to its
clients, or for providing advice in relation to the proposed offering.
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Presentation team
Siarhei Kostevitch
Chief Executive Officer
Founder of the business and core shareholder
Marios Christou
Chief Financial Officer
Constantinos Tziamalis
Corporate Credit Controller and Investor Relations Director
Andrzej Olszewski
ING Securities Managing Director
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1. Company overview
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Introduction to ASBIS
• Leading IT distributor across EMEA markets
-
particularly strong in the FSU (nearly 50% of sales), the Czech Republic, Slovakia, Romania and Poland
-
established in 1992 in Minsk, headquartered in Limassol (Cyprus) since 1995
• Distributor of choice for global industry suppliers
-
preferred Top 1-Top 3 regional distribution partner for Intel, AMD, Seagate, Samsung and Microsoft
• Wide product and IT components portfolio, distributed on a ‘one-stop-shop’ basis
-
CPUs, HDDs, other components, laptops, peripherals, accessories
• Increasing share of private label, high-margin products and accessories marketed under Prestigio and Canyon brands
• Distribution network physically present in 23 countries
-
reaching 14,000 customers in 70 countries with a unique B2B on-line solution applied to over 50% of sales value
• Experienced management and strong operational and financial controls
• Solid operational and financial performance: US$1bn revenues and US$11m net profit in 2006
-
listed on AIM since October 2006 for technical reasons (shareholders’ agreement) with non-representative share price
-
shares listed on the WSE will not be fungible with AIM shares
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Milestones
1992-1994
1995
•
Established in
Minsk, Belarus
•
ASBIS incorporated
in Cyprus
•
Distribution
agreement with
Seagate
•
Headquarters
moved to Limassol,
Cyprus
•
1996-2000
•
•
Distribution hub
in Amsterdam
2001-2002
Aggressive
expansion
across the CEE
region
•
Distribution
agreement with
Intel
•
1 200
1 008,8
930,4
1 000
800
679,7
539,5
600
400
755,7
•
Development of
Canyon and
Prestigio private
labels
Launch of the
IT4Profit platform,
on-line (B2B)
purchasing
platform for
electronic trading
with customers
US$10m private
placement of
shares to
institutional
investors to fund
growth
379,3
285,8
200
0
2000
2001
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2002
2003
2004
2005
2006
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2003-2005
2006-2007
•
Launch of mobile
PC strategy
•
Listing on AIM in
October 2006
•
Distribution
agreement with
AMD
•
Revenues in
excess of
US$1bn
•
Listing and share
offering on the
WSE planned for
2007
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Competitive strengths
Broad geographic coverage in CEE combined with local presence
• Unlike most of international competitors, the Group has strong local presence in a number of countries
• Reduced shipping and revenue collection costs and consistent marketing approach
Experienced management team combined with local expertise
•
Key managers have been with the Group for several years
•
Regional operations managed by local experienced managers with an in-depth understanding of the local markets
Critical mass
•
In excess of US$1bn revenues in 2006 with sales in c.70 countries and operating facilities in 23 countries
•
Authorised distributor status achieved thanks to the size and scope of operations, leading to tangible commercial benefits
Price and stock rotation protection granted by suppliers
•
Beneficial contract terms providing protection from declining prices and/or slow moving inventory
•
Main local competitors tend to buy in the open market
One-stop-shop
•
Complete solutions to producers and integrators of server, mobile and desktop segments
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Market position
• In 2006 ASBIS sold 3.4 million CPUs and 3.3 million HDDs, while in total 14.1 million PCs were sold across the CEE region
- implies c.23% market share
• One of the leading distributors for Intel, AMD and Seagate across the CEE region
• Top 1 – Top 3 EMEA distributor for other key suppliers
• 14,000 active customers in over 70 countries
• Local B2B e-shops integrated with a Group-wide on-line supply chain management system
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2. Market overview and competitive landscape
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Market growth
•
Number of PCs worldwide expected to almost double before it reaches
saturation
•
Strong position of local PC manufacturers in the emerging markets
•
IT products increasingly affordable with shortening life cycles
•
Faster IT sector growth in the emerging markets underpinned by
•
-
higher economic growth
-
historically lower IT spending as a percentage of GDP
-
lower level of PC ownership
-
expansion of internet usage
PC penetration level (June 2006)
CEE IT distribution sector projected to grow at 14.0% CAGR (by volume)
and 13.6% (by value) to reach 24.7 million PCs per annum, worth
US$21.7bn in 2010
Rest of Europe
Russia
Poland
Hungary
Czech Republic
Greece
Spain
Germany
UK
US
10.4
12.3
15.7
17.1
22.6
23.5
27
46.4
58.2
79.4
0
20
25
19.4
3.8%
4%
17.2
13.7
15.2
11.4
10
100
5%
% of GDP
US$bn
15
80
IT spending as a percentage of GDP by region (2005)
21.6
20
60
PCs/100 head of population
Source: Gartner
CEE growth market by value of PCs shipments (US$bn)
40
5
3.4%
3%
2%
2.3%
1.6%
1%
0
0%
2005
2006
Source: IDC
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2007
2008
2009
2010
FSU
Source: IDC
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CEE
US
UK
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Strategy
Increasing sales and market share in the EMEA region, through increased penetration and new ventures
ASBIS’ strategy
Expansion to new emerging markets
Leveraging success of private label business (Canyon and Prestigio)
Continued re-balancing of product mix with a view to improving profit margin
Enhancement of B2B and B2C on-line sales channels
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3. Operations
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Sales overview
Primary business lines
Revenue breakdown by value (1H 2007)
• Sales and distribution of
- IT components supplied by Intel, AMD, Seagate, Hitachi,
etc.
Other 19.7%
CPU 27.7%
- Private labels (Prestigio, Canyon) manufactured by
leading ODM/OEM in the Far East
Peripherals 2.3%
Displays 2.4%
Mainboards & VGA
cards 4.4%
RAM 6.0%
- Software (Microsoft) and end-user products (Toshiba)
Value drivers
• Economies of scale due to continuing process automation
Laptops 6.1%
• Organic growth in high growth markets
HDD 21.4%
Software 10.0%
- underlying increase in PC penetration
- in-depth understanding of the local markets
Key suppliers – by sales contribution (1H 2007)
• New product lines
• Increasing market share
Other 26.9%
Own label products – Canyon and Prestigio
Intel 22.8%
• Increasing share of sales: 5.8% in 2005, 7.6% in 2006
• Higher margin brand products
Canyon 2.6%
Seagate 13.5%
Hitachi 3.2%
HP 2.3%
Samsung 4.6%
AMD 9.3%
Prestigio 5.0%
Microsoft 9.8%
- utilising existing distribution network
- leveraging on the strong components business
- innovative, aspirational products
• Technical support provided locally
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Key regions
• Key markets (1H 2007)
Revenue breakdown by region 2004-2006
- CIS (47%)
500
491
453
- CEE (32%)
400
365
(US$)
- Middle East & Africa (8%)
300
252
200
- Other (3%)
• Stable geographical sales split,
focused on high-growth countries
343
314
- Western Europe (10%)
85
73
100
36
29
55
89
69
24
17
0
2004
- Middle East and Africa growing fast
4.8%
2005
3.8%
5.9% 2.6%
48.3%
9.7%
2006
9.1%
6.8%
48.7%
33.7%
33.4%
Former Soviet Union
Middle East & Africa
Central & Eastern Europe
Other
8.8%
1.7%
48.7%
34.0%
Western Europe
Note: Data have been subject to rounding adjustments, therefore the sum of the numbers may not conform exactly to the actual
total figure
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Distribution network
• Four distribution centres in Prague,
Amsterdam, Helsinki & Dubai
• 31 local warehouses in 19 additional
countries
• JIT stock replenishment system
• 331-strong Sales & Marketing team
across all countries of operations
• Local technical support
Helsinki
Tallinn
Moscow
Ballinloough
Vilnlus
Amsterdam
Minsk
Warsaw
Kiev
Kosice
Budapest
Ljubljana
Zagreb
Belgrade
Bucharest
Sofia
Prague
Bratislava
Alma-Aty
Istanbul
Algiers
Tunis
Limassol
Casablanca
Cairo
Hong Kong
Hong Kong
Dubai
Distribution centers
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On-line management and control
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• ASBIS’s business is real-time managed and controlled through an on-line management system
-
gives visibility and transparency
• B2B e-shops, CRM, inventory and sales reporting systems
-
multilingual, multi-currency and tailored to local regulations
• Lead times and transaction costs minimised due to system integration with key suppliers and subsidiaries
• 50% of 2006 revenue generated on-line and centralised purchasing in Cyprus
-
goods shipped from one of the four distribution centres; small sized, high price dynamics and/or value products delivered directly by manufacturers
• Direct sales in all countries of Central and Eastern Europe and indirect sales in countries with under-developed infrastructure
via a network of authorised resellers (e.g. Russia, Ukraine, North Africa)
IT4Profit
• On-line ‘marketplace’ developed by the Group
• IT4Profit functionalities
- interconnectivity with suppliers
- B2B and B2C on-line shops for both front and back office administration
- on-line supply chain management with GPS tracking
- statistics for product pricing and stock management
- comprehensive reporting and a balanced scorecard management system
- licence agreement in place
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4. Financials
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Key historical indicators 2004-2006
Key historical data (US$m)
Margins (%)
1,000
5%
1,008.8
4.7%
930.4
4.1%
800
755.7
4%
3.6%
60
US$m
3%
%
47.7
38.4
40
2%
1.5%
1.4%
26.9
20
7.1 5.4
1.1%
18.3
16.5
14.3
12.6
8.4
1.8%
1.6%
1%
0.9%
0.9%
0.7%
11.1
0.3%
2.2
0
0%
2004
Revenues
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2005
Gross profit
EBITDA
2006
EBIT
2004
Net profit
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Gross margin
2005
EBITDA margin
2006
EBIT margin
Net margin
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P&L
[US$]’000s
1H 2007
1H 2006
Revenue
540,055
426,368
Cost of sales
(516,277)
Gross profit
2005
2004
1,008,795
930,389
755,720
(408,829)
(961,102)
(892,020)
(728,774)
23,779
17,539
47,693
38,369
26,946
4.4%
4.1%
4.7%
4.1%
3.6%
(18,135)
(13,069)
(31,609)
(26,065)
(21,762)
Amortisation of goodwill
-
(39)
-
(14)
(64)
Profit from operations
5,644
4,431
16,084
12,291
5,120
Other operating income
120
103
383
359
253
EBIT
5,764
4,534
16,467
12,649
5,372
EBIT margin (%)
1.1%
1.1%
1.6%
1.4%
0.7%
EBITDA
6,677
5,375
18,310
14,349
7,084
EBITDA margin (%)
1.2%
1.3%
1.8%
1.5%
0.9%
(1,917)
(1,603)
(3,708)
(3,332)
(2,282)
PBT
3,846
2,930
12,759
9,318
3,091
PBT margin (%)
0.7%
0.7%
1.3%
1.0%
0.4%
Taxation expense
(678)
(444)
(1,689)
(939)
(842)
17.6%
15.2%
13.2%
10.1%
27.2%
PAT
3,168
2,486
11,070
8,378
2,249
PAT margin (%)
0.6%
0.6%
1.1%
0.9%
0.3%
Gross profit margin (%)
Selling and administrative expenses
Financial expenses, net
Effective tax rate (%)
2006
Note: Data have been subject to rounding adjustments, therefore the sum of the numbers in a column may not conform exactly to the total figure given for that column
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Balance Sheet
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[US$]’000s
1H 2007
1H 2006
2006
2005
2004
Assets
235,146
236,152
236,152
207,073
169,502
Current assets
Inventories
Trade receivables
Other current assets
Cash and equivalents
226,294
59,534
134,120
4,512
28,127
227,622
46,178
148,790
4,726
27,928
227,622
46,178
148,790
4,726
27,928
198,876
58,702
110,971
4,020
25,106
160,993
46,426
84,442
4,256
25,868
8,853
7,629
1,125
99
-
8,530
7,162
1,268
100
-
8,530
7,162
1,268
100
-
8,197
6,664
1,443
90
-
8,509
6,754
1,652
90
14
Liabilities and equity
235,146
236,152
236,152
207,073
169,502
Liabilities
172,658
175,999
175,999
156,113
126,220
Current liabilities
Trade payables
Current taxation
Bank overdrafts and short-term loans
Other current liabilities
171,892
117,982
334
32,737
20,839
175,214
117,453
278
34,377
23106
175,214
117,453
278
34,377
23,105
155,212
114,276
20,315
20,620
125,097
86,754
159
19,131
19,053
766
786
786
901
1,124
62,488
9,600
8,138
44,750
60153
9,600
8,138
42,415
60,153
9,600
8,138
42,415
50,960
9,600
8,138
33,222
43,233
9,600
8,138
25,495
Non-current assets
PPE
Intangible assets
Investments
Goodwill
Non-current liabilities
Equity
Share capital
Share premium
Reserves
Note: Data have been subject to rounding adjustments, therefore the sum of the numbers in a column may not conform exactly to the total figure given for that column
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Commercial and financial risk management
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• IT components distribution is inherently a risky business
- industry dominated by global manufacturers on the supply side
- frequent price wars between major players (e.g. Intel vs AMD)
- shortening product life cycle due to innovation
- stocks become obsolete rapidly
- quality of components is crucial from the point of view of business clients
• As a preferred partner for players such as Intel, AMD, Seagate or Hitachi, ASBIS enjoys several privileges which reduce
commercial and financial risk
- contractual price protection – against product price decline with reimbursement for inventory in transit or held in
warehouses
- stock rotation policy – right to return slow-moving inventory, with terms based on sales performance in the preceding
quarter
- return material authorisation policy – defective items (e.g. CPUs or HDDs) may be returned for credit, replacement or
refurbished products
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5. Offering
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Use of proceeds
• Proceeds to the company will be in PLN, converted into USD at the rate prevailing on the pricing date
• Based on the top of the price range, we are looking to raise c.PLN 82.9 million (US$ 29.6 million)
(*)
• Use of proceeds:
-
Development of Prestigio and Canyon brands (marketing, design, sourcing and quality control) – approx. PLN 39,1 m (US$ 14.0 m) (*)
-
Taking advantage of early payment discounts offered by some of the key suppliers (eg. Seagate and Hitachi Global) in order to increase gross profit
margins – approx. PLN 21.8 m (US$ 7.8 m) (*)
-
Expansion of the branded end-user products range on offer (eg. Toshiba notebooks) – approx. PLN 15.4 m (US$ 5.5 m) (*)
-
Completion of local HQ and warehouse in Slovakia – approx. PLN 2.0 m (US$ 0.7 m) (*)
• Capex plans – no major capex spending planned
(*)
US$ amounts converted at 1 US$ = PLN 2.80 rate of 20 June 2007
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Offering details
•
ASBISc Enterprises PLC, KS Holdings, Maizuri Enterprises, Alpha Ventures and
15 other smaller shareholders
•
Up to PLN 170 m (US$ 63m) - base deal, PLN195m (US$73m) – post-greenshoe
•
Up to 21,205,144 shares, primary - 7.5 m (36%), secondary - 13,7 m (64%)
•
Retail tranche – 2.65 m (12.5%), Institutional tranche – up to 18.55 m (87.5%)
•
Claw-back possible if tranches are not fully subscribed
•
PLN 7.50 (US$2,8) to PLN 9.20 (US$ 3,4) per share. Pricing in PLN as base
currency
Greenshoe
•
15% of the base deal (2,765,888 shares, all secondary)
Free float
•
Up to 38.2% post-greenshoe (33.2% pre-greenshoe)
Expected market capitalisation
•
PLN 511m (US$ 191m) post-money (at the top of the price range)
•
12 months on pre-IPO shareholders holding in excess of 1% and the Company
(reflects 90.6% of all pre-money shares)
•
Warsaw Stock Exchange. The shares offered will not be listed on AIM
Selling Parties
Offer size
Offer structure
Price range
Lock up
Listing
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Timeline
Roadshow
•
10 to 18 October 2007
Books open
Books close
•
•
10 October 2007
18 October 2007 (18:00 CET Warsaw, 17:00 GMT London)
Pricing and allotment
•
Not later than 19 October 2007
Settlement (T+3)
•
24 October 2007
Listing
•
On or about 30 October 2007
Global Co-ordinator and
Bookrunner
•
ING
Institutional distribution
•
ING
Retail distribution
•
ING, BPH, BZ WBK
Syndicate
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6. Summary
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Key selling points
One-stop shop for server, desktop and laptop segments
Unique, pan-regional business model
Key selling points
Preferred distributor status with key suppliers
Exposure to the fast growing markets of Central Eastern Europe and Middle East
Critical mass and scale of operations – revenues in excess of US$1bn, operations in 23 countries
Growing gross margins and overall profitability
Wide product portfolio with aggressive introduction of high margin own label brands
Significant barriers to entry
• Thorough knowledge and understanding of the local markets
• Size and product portfolio depth
Professional and experienced management team
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Appendix
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Own labels – Prestigio
• Launched in 2002 to supply premium quality IT products
• Positioned to profit from growth of flat panel/LCD displays
• Product range
- laptops,
- LCD TVs & monitors
- digital media centers
- data storage devices
• Target audience – urban/urban professional
• Marketing message – ‘The Art Of High Tech’ with a premium,
high-spec design
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Own labels – Canyon
• Launched in 2001 to supply motherboards and VGA cards to
Eastern European markets
• Currently, IT and consumer electronic peripherals and
accessories sold through retail chains
• Product range
- RAM and flash memory modules
- networking products
- external HDDs
- MP3 players
- speakers
• Target audience – teens/mid-twenties
• Marketing message – good quality at affordable price
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Board of Directors - executive
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Siarhei Kostevich, 43, CEO and President
Marios Christou, 39, CFO
Holds a Masters degree in radio engineering design from the Radio
Engineering University of Minsk (1987). Between 1987 and 1992, Siarhei
worked as a member of the Research Centre at the Radio Engineering
University in Minsk, where he published a series of articles on
microelectronics design in local and world-wide specialist magazines. In
1990, Siarhei established a design and manufacturing business in Minsk,
Belarus, a predecessor of ASBIS, and within 17 years built it into the leading
computer component distributor in Eastern Europe and the former Soviet
Union.
Holds a B.A., dual major in Accounting and Information Systems and
Economics, from Queens College of the City University of New York
(C.U.N.Y.) (1992), and an M.B.A. in International Finance from St. John’s
University, New York (1994). Marios is also a Certified Public Accountant
(CPA) and a member of the American Institute of Certified Public
Accountants (AICPA).
Constantinos Tziamalis, 32, Director of Credit and Investor
Relations
Laurent Journoud, 36, Sales and Marketing
Holds a B.Sc. in Banking and Financial Services (1998) and a Masters
(M.Sc.) in Finance (1999) from the University of Leicester. He worked at the
private banking department of BNP Paribas in Cyprus and then joined a
brokerage house, Proteas Asset Management Limited, for 3 years as
Investor Accounts Manager. Constantinos joined the Company in January
2002 as Financial Project Manager. He was promoted to his current position
as Corporate Credit Controller & Investor Relations in March 2003 and
became Director of Credit and Investor Relations as of 23 April 2007.
Roadhsow presentation
Marios worked with Deloitte & Touche Limassol, Cyprus, for four years, as
an audit manager. Marios then worked as a Financial Controller at Photos
Photiades Breweries Ltd (part of the Carlsberg Group of companies) for
three years. Marios joined the Company in August 2001.
Holds an M.I.T. (Management – International Trade) and M.M.E. (Master’s
in European Management) from ICL Lyon, France (1993 and 1994
respectively). For more than 10 years, Laurent held senior international
product management positions in the EMEA distribution industry with
major multinationals, including Ingram Micro, Karma International and
Actebis.
Laurent joined the Company in January 2002 as Director of Product Lines.
He is responsible for the Group’s product portfolio and market
development for each of the Group’s technology offerings.
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Board of Directors – non-executive
John Hirst, 54, Non-executive Director
Holds a B.A. in Economics from Leeds University. He is also a Companion
of the Chartered Management Institute, Associate in Corporate Treasury
Management and a Fellow of the Institute of Chartered Accountants in
England & Wales. Between 1979 and 1998, John served in various roles at
Imperial Chemicals Industries plc, including that of CEO for ICI Performance
Chemical, and from 1988 until 2005, he was the CEO of Premier Farnell plc,
the UK listed global electronics distribution company. From 2005 until he
joined the Company in 2006, John was a non-executive director of
Hammerson Plc
Paul Swigart, 36, Non-executive Director
Holds a B.A. in History (magna cum laude) (1992) from Princeton
University. Paul was a partner at United Financial Group, a brokerage and
London Stock Exchange market maker for a leading Russian investment
bank. Paul has also worked at Scudder Kemper in New York as a Latin
American analyst; at Omega Advisors in New York in the Emerging Market
Equities department; and at CS First Boston in New York as a corporate
finance analyst.
He is the founder and controlling partner of Steep Rock Capital, an
investment company established in May 2006.
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Shareholder structure
Holding (%)
Shareholder
KS Holdings Limited
(1)
Maizuri Enterprises Ltd
Alpha Ventures
Sangita Enterprises Limited
(2)
Mr Richard Coasby
Other (mainly employees and ex-employees)
Free float
Pre-IPO
Post-IPO
Post-IPO
Over-allotment option not
exercised
Over-allotment option not
exercised
Over-allotment option fully
exercised
53.49%
42.66%
37.67%
10.00%
0.00%
0.00%
6.67%
0.00%
0.00%
5.83%
4.79%
4.79%
3.28%
2.55%
2.55%
20.73%
16.78%
16.78%
0.00%
33.22%
38.21%
Notes:
(1) Investment vehicle controlled by Mr Siarhei Kostevich
(2) Investment vehicle controlled by Mr Yuri Ulasovich, VP for product marketing, and his wife
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Key countries
Revenues by country – 1H 2007
Geography of operations – revenue breakdown by countries (2004-2006)
Top 5 countries by sales
Country
28.2%
30.9%
4.1%
4.5%
5.0%
•
13.5%
5.0%
8.8%
Russia
Ukraine
Slovakia
Germany
Romania
Poland
Czech Rep
Other
2006
2005
2004
Russia
25.8%
28.5%
27.6%
Ukraine
15.6%
12.9%
11.4%
Slovakia
9.2%
8.5%
9.8%
Czech Republic
6.5%
9.5%
6.2%
Poland
4.5%
3.7%
4.2%
Belarus
4.2%
4.6%
6.1%
Romania
4.1%
2.5%
1.9%
Germany
3.4%
3.3%
3.6%
United Arab Emirates
3.3%
3.3%
2.6%
Kazakhstan
2.5%
2.2%
2.5%
20.9%
21.0%
24.1%
Other
Over 60% of the total sales in 1H 2007 generated in Top 5 countries
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