Value stripping at the finance auctions – SPK 2 (IMI (i))

As stated at the end of SPK 2, in this post I will be looking at the forthcoming IMImobile IPO scheduled for 24th June 2014 to assess whether there’s enough potential upside arising from the IMImobile IPO to continue with SPK as a value stripping target.  I also referred to the information disclosed by IMImoble to AIM on their Schedule 1 submission document dated 13th June 2014 at 10:51.  Below is an extract from Schedule 1.

IMImobile AIM Schedule 1 extract

FULL NAMES AND HOLDINGS OF SIGNIFICANT SHAREHOLDERS EXPRESSED AS A PERCENTAGE OF THE ISSUED SHARE CAPITAL, BEFORE AND AFTER ADMISSION (underlining the first name by which each is known or including any other name by which each is known):

Pre-Admission (Note 1) Post Admission Shareholder Number % Number % Viswantha Reddy Alluri 12,355,254 25.8% TBC TBC Jayesh Ramesh Patel 2,632,500 5.5% TBC TBC Shyramprasad Subramanya Bhat 2,144,874 4.5% TBC TBC Spark India Limited (Note 2) 13,720,044 28.6% TBC TBC First Mark India Marutisu IV Ltd 7,805,127 16.3% TBC TBC Sequoia  Capital India Holdings III 6,521,739 13.6% TBC TBC

Before going any further, I would like to take a look at the SPARK insiders, especially since this is a complex web of interrelated companies and some connected relationships are not apparent from reading the AIM Schedule 1 submission, see link in previous paragraph and also previous post – SPK 2.

Directors of Spark Venture Capital Plc (SPK)
Mr Jayesh Ramesh Patel (retired 9 Feb 2013)
Mr Andrew Bruce Carruthers
Mr David Potter
Mr Andrew David Norman Betton
Mr Charles Richard Berry
Ms Helen Rachelle Sinclair

Directors of Spark Venture Management Ltd (SVML)
Dr Charles Jonathan Gee
Mr Thomas Teichman
Mr Jayesh Ramesh Patel
Mr Andrew Bruce Carruthers
Mr Andrew David Norman Betton
Mr Anthony David Duffy

Directors of Spark Venture Management Holdings Ltd (SVMH) | % Equity
Mr Andrew Bruce Carruthers | 33.33%
Mr Thomas Teichman | 22.23%
Mr Jayesh Ramesh Patel | 33.33%
Mr Andrew David Norman Betton | 11.13%

Directors of Querist Ltd – 100% Subsidiary of SVMH
Mr Andrew David Norman Betton
Mr Andrew Bruce Carruthers
Mr Thomas Teichman
Mr Andrew David Norman Betton
Mr Jayesh Ramesh Patel (retired 13 May 2014)

Directors of Spark Advisory Partners Ltd (SAPL)  – 100% Subsidiary of SAL
Mr Andrew David Norman Betton
Mr Neil Richard Baldwin
Mr Sean Christopher Wyndham-Quin
Mr Mark David Brady
Mr Matthew James Davis
Ms Miriam Valerie Greenwood
Mr Jayesh Ramesh Patel (retired 18 Nov 2013)

Directors of Spark Aph Ltd (SAL) | % Equity
Ms Miriam Valerie Greenwood | 18%
Mr Andrew David Norman Betton
Mr Neil Richard Baldwin | 18%
Mr Sean Christopher Wyndham-Quin | 18%
Mr Matthew James Davis | 18%
Mr Mark David Brady | 18%
Mr Jayesh Ramesh Patel (retired 18 Nov 2013)
Significant shareholder of Spark Aph Ltd (SAL) | % Equity
Querist | 10%

I’m beginning to feel like I’ve been transported to a Tiananmen Square flag raising ceremony with a strange smell brewing in the air.  Should I be worried?  The IPO is scheduled for the 24th June 2014 and there’s only one group of winners.  Judge for yourself!  Nevertheless, I will continue to see what value can be stripped from this carrion.

Oodutty