Wednesday, December 30, 2009

Fatpipe Networks filed a DRHP with SEBI for IPO

Fatpipe Networks India Limited, owned by DR. RAGULA BHASKAR, is planning a public issue of 49 crore. The company has filed a DRHP (draft red herring prospectus) with SEBI (Securities & Exchange Board of India).

Fatpipe's core technology, router clustering, involves patented and patent-pending methods that provide the highest levels of optimization, reliability, security and acceleration of Wide Area Networks (WANs) and enable high-speed data transfer through multiple lines, multiple ISPs, and backbones over WANs with seamless reassembly of data streams. Fatpipe technology affords companies, that run mission critical WAN applications over any type of infrastructure, automatic and dynamic failover of a downed data line due to a WAN component, line or service failure.

Company holds 7 patents on a technology called "Router-Clustering," which enables customers to obtain highly redundant and fast Internet/WAN access. FatPipe sells its products worldwide through a network of 2 authorized distributors and over 500 resellers. FatPipe is proposing to expand its operations to China, Singapore, South Africa, Kenya, Nigeria, Argentina, Belgium, Germany, France, Eastern Europe and Australia. Fatpipe will be setting up a wholly owned subsidiary in the US to expand US operations and to solicit government business.

The company intends to spend the issue proceeds to expand the product line with enhanced Research and Development activities, specifically for development of new product-lines, to establish 16 new Marketing Offices, for strategic acquisition of business and to meet the Public Issue Expenses.

For the year ended March 31, 2009, it has reported profit after tax of Rs 3.99 crore on total income of Rs 42.3 crore. For the period from April-September 2009, it has posted profit after tax of Rs 4.61 crore on total income of Rs 29.57 crore; for the same period - it has debt of Rs 90.27 lakh.

Keynote Corporate Services Ltd is the book running lead manager of the issue and Karvy Computershare Private Limited is the registrar.

For more information about Fatpipe Networks IPO Prospectus please visit: