Kogan.com – which yesterday released its prospectus for a $50 million float on the ASX sharemarket – is billing itself as a “next-generation” online retailer.
“In combining the data analytics opportunity offered by online retail with the deep technological expertise of its management and team, Kogan.com has created a vertically-integrated business model with a market-leading private label capability” chairman Greg Ridder said yesterday, commenting on the prospectus.
“This is complemented by a compelling range of in-demand Australian and international third-party brands, supporting Web site traffic and cash generation.
“This combination is unique among Australian online retailers and is a sustainable source of competitive advantage.”
The public is not being offered the chance to subscribe for Kogan shares, which are priced as expected at $1.80 apiece. The offer is limited to brokers, financial institutions and staff. It has already been over-subscribed fourfold, according to market reports
Kogan will have a market capitalisation of $168 million when it begins trading on June 30. The company has said it plans to spend most of the $50 million float proceeds on marketing and investment in new products.
The two current owners, founder Ruslan Kogan and CFO David Shafer, will retain 69 percent of the action,
The prospectus does not cover the most recent initiatives by Kogan.com, including acquisition of the Dick Smith online business and moves into the travel and mobile markets, apart from saying those matters are being pursued along with “expansion of Kogan.com’s higher-margin product ranges, which include its private label and its domestic third party branded products.
