Infobank takes one-fifth Osmere share

INTERNATIONAL electronic commerce company Infobank International Holdings has paid $17.2 million to acquire a stake of just under 20 per cent in Perth-based company Osmere Limited.

The move follows hard on the heels of its acquisition of Info-bank’s Australian and Australasian distributor Online Advantage.

Under the Osmere deal, Infobank will take up to 43 million shares at a price of 40 cents per share – representing a 33.3 per cent premium over the 30 cent issue price of a $7.5 million placement and rights issue announced during February.

Infobank will also receive the right to take up 21.5 million options in Osmere exercisable at 40 cents each. The options are for a period of five years.

At the same time, Infobank has appointed Online Advantage as the exclusive distributor for its InTrade suite of products in the Australasia region for a five year period.

Osmere chairman George Jones said Osmere – which will change its name to Online Advantage – would be cashed up from the new placement with total funds raised of around $25 million, including the $7.5 million from the previously announced placement and rights issue.

“This will place us in a position us to accelerate our expansion plans by twelve to eighteen months and as a result will elevate Online Advantage to the major league as a partner of one of the top three or four market leaders in business to business e-commerce space,” Mr Jones said.