Placing and Admission to AIM
December 12 2003 - 2:16AM
UK Regulatory
RNS Number:1865T
Flightstore Group PLC
12 December 2003
FLIGHTSTORE GROUP PLC
PLACING AND ADMISSION TO AIM
FlightStore Group PLC, ("FlightStore" or "the Group"), which provides an
inflight intranet allowing passengers to transact with the terrestrial world
whilst in flight, is today pleased to announce the admission of its Ordinary
Shares to trading on the Alternative Investment Market (AIM) of the London
Stock Exchange Plc.
Admission Statistics
Placing Price 10p
Number of New Ordinary Shares being issued
pursuant to the Placing 20,000,000
Percentage of enlarged issued share capital being 19.92%
placed
Estimated net proceeds of the Placing to be
received by the Company #1,650,000
Market capitalisation at the Placing Price #10,037,646
FlightStore's proprietary software, operating on seat-back television
systems installed and maintained by the airlines, provides an inflight
intranet that allows passengers to transact with organisations on the ground
to purchase goods and services or to register their interest for subsequent
marketing communications. The FlightStore inflight intranet transmits data
in real time from the aircraft via satellite. First launched on a commercial
airline in July 2001, FlightStore is currently operating with six airlines
and is in advanced negotiations with another US airline which operates a
further 35 aircraft.
FlightStore's current revenue is derived from fixed monthly advertising and
variable transaction fees or commissions that it charges its advertisers.
The arrangements with the airlines provide for revenue shareing, typically
on a 50:50 basis, so the airlines can earn additional revenue from
passengers whilst inflight.
David Sebire, Chairman of FlightStore, commented "FlightStore offers a new
inflight entertainment channel to a 'captive' audience with time to browse,
particularly on long haul aircraft. At present, the majority of our income
is generated from interactive advertising but in the longer term we see
varied opportunities in other forms of inflight retail, for example 'Order
in flight - Collect on Arrival', enabling passengers to buy their duty free
whilst inflight and to collect it on arrival.
"We are delighted to begin trading on AIM and the money we have raised, via
our broker Seymour Pierce, will enable us to fund further development and to
provide FlightStore with working capital to roll-out our business plan and
increase the range and depth of our services."
For further information please visit www.flight-store.com or contact:
David Sebire Dru Edmonstone Rosie Brown/ Claire Melly
Chairman Seymour Pierce Tavistock Communications
FlightStore
Tel: 07774 112 113 Tel: 020 7107 8000 Tel: 020 7920 3150
cmelly@tavistock.co.uk
NOTES TO EDITORS
FLIGHTSTORE'S PRODUCTS
FlightBrowser - Interactive Advertising
This involves the creation of branded marketing sites for advertisers
wishing to bring their product, message or name to captive travelers whilst
in flight. Advertisers are charged on a per-aircraft per-month basis and
revenues (above specified monthly minimums) are shared with the airlines.
This form of direct marketing currently comprises the majority of
FlightStore's income.
FlightBooker - Destination Services
This service offers the passenger the opportunity to make a booking whilst
in flight at the ultimate destination of the passenger, such as a taxi on
arrival, a restaurant, a theatre ticket or an excursion.
FlightStore - Airborne Shopping
This service offers passengers the opportunity to shop with international
brands or local stores and, subject to the brand partners' capability, to
have these products delivered to their home. FlightStore's offering is a
commercial enabling facility and hence has no inventory risk and requires no
funding of stock. Payment for goods by passengers is by credit card number
entry on the handset used to control the aircraft's IFE system.
AIRLINE PARTNERS
FlightStore's products are currently in 63 aircraft, 44 of which are with
Continental Airlines. Additional airline partners include Lauda Air,
Austrian Airlines, Swiss International Airlines and KLM. FlightStore has a
further agreement with Northwest Airlines, the first stage of which is
estimated to be completed by November 2004.
BRAND PARTNERS
FlightStore has a diverse brand partner base, which includes the following
companies: UBS, Priority Pass (airport lounges), Bang & Olufsen, SDM (Swiss
hotel booking service and CD-WOW! (online CD/DVD/Game retailer).
FlightStore targets partners with brands on the basis of their fit to a
particular flight route or passenger demographic.
TECHNOLOGY
MAS provides the hardware platform and underlying software infrastructure
within which FlightStore's software functions. The MAS Platform accounts for
a significant proportion of the worldwide IFE systems market.
This information is derived from and should be read in conjunction with the
full text of the admission document dated 9 December 2003.
This information is provided by RNS
The company news service from the London Stock Exchange
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