OnMobile To Sell 18% Stake For About Rs. 140 Crore To Jump Networks

OnMobile Systems Inc. has entered into an agreement to sell 18% stake of its Bengaluru-based subsidiary OnMobile Global Ltd to Jump Networks Ltd.

As part of the deal, Jump Networks Ltd that provides co-location and bandwidth services, will buy 1.9 crore shares of OnMobile Global at a price between Rs. 75.50 and Rs. 78 apiece, the two companies said in an exchange filing. The deal value would be in the range of Rs. 143.45-148.2 crore.

At 13:15 hours, shares of OnMobile Global were up 20% at Rs. 39.30, while those of Jump Networks were up 0.09% at Rs. 55.35 on the BSE.

The companies expect the sale to be completed within 75 days. The deal is subject to the terms set out in the share purchase agreement signed between the two companies.

“It is OMSI’s belief that OnMobile’s strong portfolio of products and long-standing operator relationships together with the technology thrust provided by JUMPNET will help in cementing OnMobile’s position as a global leader in mobile entertainment,” the companies said in a joint statement.―Livemint