Aamra Networks Limited
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aamra.com.bd Information Memorandum aamra networks limited aamra.com.bd aamra.com.bd aamra.com.bd Information Memorandum of aamra networks limited Authorized Capital: BDT 1,000,000,000 (100,000,000 Ordinary Shares of BDT 10 each) Paid Up Capital: BDT 260,000,000 (26,000,000 Ordinary Shares of BDT 10 each) Proposed Issue Size: BDT 120,000,000 Offering of 12,000,000 Ordinary Shares of Face Value BDT 10/- each MANAGER TO THE ISSUE LANKABANGLA INVESTMENTS LIMITED Eunoos Trade Centre, Level - 21, 52-53, Dilkusha C/A, Dhaka - 1000, Bangladesh Phone: +88 02 711 35 85, 712 25 95 Fax: +88 02 711 57 56 e-mail: [email protected] Web site: www.lankabangla-investments.com aamra.com.bd Disclaimer This Information Memorandum with respect to the Private Placement of ordinary shares of aamra networks limited has been prepared by LankaBangla Investment Limited to be circulated amongst potential investors. The information forecast analysis, assumptions and opinions contained herein have been compiled or arrived at solely based on information obtained from aamra networks. Such information has not been independently verified and no guarantee, representation or warranty, expressed or implied is made as to its accuracy, completeness or correctness. Nothing contained in this document is, or shall be relied upon as, a promise or representation by LankaBangla Investments Limited. All such information is subject to change without notice and such changes could be due to unforeseen circumstances. This document is for information purposes only and does not purport to be a complete description of the subject matter referenced to herein. Any estimate, projection, opinion, forecast and valuation contained in this Information Memorandum involves significant elements of subjective judgment and analysis, which may or may not be correct. No representation is made that any estimate, projection or forecast will be achieved. The actual future events may vary significantly from the estimates, projections, forecasts or valuation and each estimate, projection, forecast or valuation is based on a number of assumptions and is subject to matters which are outside the control of aamra networks limited and LankaBangla Investments Limited. Accordingly, LankaBangla Investments Limited and aamra networks limited shall not be liable for any loss or damage howsoever arising as a result of any person acting or refraining from acting in reliance or any information, forecast analysis and opinion contained herein. The recipients of this Information Memorandum are expected to carry out their own independent evaluations on the transaction contemplated herein taking into consideration macroeconomic variables and other relevant conditions. The proposed Private Placement of ordinary shares of aamra networks would only be executed upon obtaining necessary regulatory approvals. aamra.com.bd Contents Abbreviations ............................................................................................................................................ 11 1 Proposed capital structure ............................................................................................................. 4 2 Profile of Aamra Networks Limited ............................................................................................... 5 2.1 Fact Sheet .............................................................................................................................................. 5 2.2 Background ........................................................................................................................................... 6 2.3 Nature of Business ................................................................................................................................ 6 2.4 Quality Policy......................................................................................................................................... 7 2.4.1 Certifications ....................................................................................................................................... 7 3 Principal Products & Services &Support ..................................................................................... 8 3.1 Major Service Portfolio ......................................................................................................................... 8 3.2 Service & Support ................................................................................................................................ 10 3.3 Network Monitoring ........................................................................................................................... 13 3.3.1 ATS Monitoring System ..................................................................................................................... 14 3.4 Statement of Business Continuity & Disaster Recovery ...................................................................... 15 3.5 Revenue Mix........................................................................................................................................ 16 3.6 Subsidiaries and their core areas of business – Ace IT Networks Limited .......................................... 16 3.7 Associates, Subsidiaries or related holding company and their related transactions ........................ 17 3.8 Distribution of Products and Services ................................................................................................. 18 3.8.1 Sales and Marketing .......................................................................................................................... 18 3.8.2 Capacity Distribution Flow Chart ....................................................................................................... 18 3.8.3 Service Flow Chart ............................................................................................................................. 19 3.8.4 Principal Partners .............................................................................................................................. 20 4 Industry Outlook ........................................................................................................................... 21 4.1 Bangladesh Telecommunication Market ............................................................................................ 21 4.2 Industry Structure ............................................................................................................................... 21 4.2.1 Voice Services – Supply Chain ........................................................................................................... 22 4.2.2 Data Services – Supply Chain ............................................................................................................. 22 4.3 Voice Market ....................................................................................................................................... 22 aamra.com.bd 4.3.1 Key Drivers of the Voice Market ........................................................................................................ 23 4.3.2 Limitations in the Voice Market ........................................................................................................ 23 4.4 Data Market Scenario ......................................................................................................................... 23 4.4.1 Internet Segment .............................................................................................................................. 23 4.4.2 Internet Price ..................................................................................................................................... 26 4.4.3 Existing Operators ............................................................................................................................. 27 4.4.4 Data Services ..................................................................................................................................... 27 4.4.5 Key Players in the Data Market ......................................................................................................... 28 4.4.6 Limitations of the Data Market ......................................................................................................... 29 4.4.7 Key Drivers of the Data Market ......................................................................................................... 30 4.4.8 Global Internet Penetration .............................................................................................................. 31 4.4.9 Factual Summary of the Voice and Data Market – Bangladesh ........................................................ 32 4.5 The Regulatory Framework ................................................................................................................. 34 4.5.1 The Regulator .................................................................................................................................... 34 4.5.2 Overall Regulatory Framework .......................................................................................................... 34 4.6 Types of Data Service Providers .......................................................................................................... 35 4.7 Guidelines for Infrastructure Sharing .................................................................................................. 35 5 Competitive Conditions of Business .........................................................................................