Carphone Warehouse and AOL Europe Announce Strategic Alliance For Mviva portal.Business Editors/Hi-Tech Writers LONDON--(BUSINESS WIRE)--June 13, 2000 Carphone Warehouse to launch Mviva internet portal this summer in UK, France, Sweden, Spain and Holland AOL (A division of Time Warner, Inc., New York, NY, www.aol.com) The world's largest online information service with access to the Internet, e-mail, chat rooms and a variety of databases and services. Europe to acquire 15% equity stake in Mviva and provide functionality, content and promotional services for Mviva pan-Europe AOL PC-based services to be promoted in 900 Carphone Warehouse and Phone House retail outlets retail outlet n → punto de venta retail outlet n → point m de vente retail outlet retail n → across six European countries Carphone Warehouse has announced a strategic alliance with AOL Europe ("AOL") under which AOL will acquire 15% of Mviva in return for providing pan-European functionality, content and services as well as payment of $25 million in cash. The agreement gives AOL the right to acquire a further 4.9% of Mviva within the next 12 months, at a valuation of Mviva of $700 million. Mviva is an independent mobile internet Refers to gaining access to the Internet using a lightweight, handheld device. See Mobile IP, PDA, smartphone and mobile TV. portal, which is planned to be launched this summer through Carphone Warehouse's shops in the UK, France, Sweden, Spain and Holland and thereafter in other European countries. It will be co-branded: "Mviva - powered by AOL". AOL Europe will be promoting Mviva to their fixed line internet subscribers in parallel with Mviva's promotion through Carphone Warehouse's shops and on and off-line marketing. In addition, AOL Europe's country services will be featured as the preferred internet service provider Internet service provider (ISP) Company that provides Internet connections and services to individuals and organizations. For a monthly fee, ISPs provide computer users with a connection to their site (see data transmission), as well as a log-in name and password. in more than 900 High Street and shopping centre retail outlets across six European countries. AOL Europe software will also be prominently promoted in-store. Mviva powered by AOL will be installed on internet-enabled mobile phones sold by Carphone Warehouse's European network. By using Mviva, phone users will be able to access services provided by AOL Europe and others at the push of a button. Mviva has the advantage of being able to set up, personalise Verb 1. personalise - make personal or more personal; "personalized service" personalize, individualise, individualize alter, change, modify - cause to change; make different; cause a transformation; "The advent of the automobile may have altered the growth and demonstrate the service at the point of sale through Carphone Warehouse sales consultants. Customers can have an e-mail account e-mail account n → cuenta de correo with AOL Europe country services as well as Mviva, and AOL Europe will provide an instant messaging Exchanging text messages in real time between two or more people logged into a particular instant messaging (IM) service. Instant messaging is more interactive than e-mail because messages are sent immediately, whereas e-mail messages can be queued up in a mail server for seconds or service to Mviva users. Mviva will be accessible via mobile and fixed line communications devices Typically refers to a terminal used to send voice, video or text. Mobile phones, wireless PDAs and personal computers equipped with microphones, speakers and cameras are all considered communications devices. See modem. , including mobile phones, PCs, personal organisers and interactive TV. It will offer a range of its own and third party content and services and will be available to customers regardless of which access device or mobile phone network they use - something which is critical when mobile phone up-grades are expected as new technologies and functionality are introduced. Charles Dunstone Charles Dunstone (born 21 November 1964) is the CEO and (with David Ross[1]) co-founder, in 1989, of mobile phone retailer The Carphone Warehouse. He was born in Saffron Walden, Essex, and educated at Uppingham School. , Chairman and Chief Executive Officer of Carphone Warehouse said: "Mviva powered by AOL is a great combination. The mobile phone will become an increasingly important means of accessing the internet. Carphone Warehouse has the pan-European distribution network to make Mviva a leading pan-European internet portal. AOL injects all the advantages of its world-leading infrastructure and content, as well as on-line advertising support and the opportunities for cross-promotion. Our shops are the places customers can come for advice on mobile internet, how it works and what Mviva can do for them." David Ross David Ross refers to:
The officer of a firm responsible for day-to-day management, usually the president or an executive vice-president. of Carphone Warehouse, said: "The combination of the pan-European distribution platform of Carphone Warehouse and AOL's brand, content and infrastructure represents a major new force in the mobile internet arena." Dennis Patrick, President of AOL Wireless stated: "This alliance with Europe's premier independent mobile phone retailer is another critical step in our AOL Anywhere initiative. More specifically, it is an important element in fulfilling our commitment to extend AOL's leadership into the 'mobile internet'." Max Alexander, Managing Director of Mviva, said: "The growth of mobile short message services (SMS (1) (Storage Management System) Software used to routinely back up and archive files. See HSM. (2) (Systems Management Server) Systems management software from Microsoft that runs on Windows NT Server. ) is already phenomenal. We see this as one of the stepping stones
The Stepping Stones are three prominent rocks lying 0.5 miles north of Limitrophe Island, off the southwest coast of Anvers Island. to mobile internet e-mail and to much wider usage of mobile internet services and m-commerce. "Mviva is positioning itself at the very beginning of the widely forecast powerful growth of mobile internet. It starts life by combining the strengths of AOL, its content and customer base with the distribution strength of the only pan-European mobile retailer. It has the ability to become a truly European portal with strong local content." Michael Lynton, AOL International President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. added: "With its large network and skilled sales force in the UK and on the Continent, and its reach across all major mobile brands, Carphone Warehouse will not only strongly position AOL's wireless offerings among mobile users but provide a powerful distribution channel to promote our PC-based services." Within four years, it is estimated there will be around 220 million web-enabled mobile phones in Western Europe Western Europe The countries of western Europe, especially those that are allied with the United States and Canada in the North Atlantic Treaty Organization (established 1949 and usually known as NATO). , compared to less than one million at the end of 1999. By the end of 2004, almost half of all mobile phone traffic is expected to be data and internet. Sources: Forrester Research Forrester Research is an independent technology and market research company that provides its clients with advice about technology's impact on business and consumers. Corporate facts
Mviva powered by AOL has to date made arrangements with over 50 third party content and service providers. Mviva will offer information, e-commerce and other services, including: -- universal inbox, e-mail, diary, e-wallets, AOL Instant Messenger -- news headlines, breaking news, sports, travel and weather -- games, cinema and theatre listings and reviews, mobile ring tones, chats and horoscopes, and -- transactions, including gaming, auctions, share trading, CDs and tickets Mviva expects to receive multiple revenue streams. These include fees from advertisers on the Mviva portal, one-off payments for introducing transacting customers to content providers, carriage fees for tenancy A situation that arises when one individual conveys real property to another individual by way of a lease. The relation of an individual to the land he or she holds that designates the extent of that person's estate in real property. on the Mviva platform and an on-going share of the retail sales margin in relation to customers introduced by Mviva who buy goods or services from content providers. In addition, Mviva is in advanced discussions with a number of internet content and service providers which may result in specific network deals and possible further investments in Mviva by strategic investors.
Enquiries: Carphone Warehouse 020 8896 5000
Charles Dunstone
David Ross
Mviva 020 7937 5111
Max Alexander
Citigate Dewe Rogerson 020 7638 9571
Anthony Carlisle (0973 611 888)
Chris Barrie
AOL Europe 020 7348 8352
Andrei Bogolubov
Notes to Editors 1. Carphone Warehouse has announced its intention, subject to market conditions, to seek a listing of its shares on the London Stock Exchange London Stock Exchange London marketplace for securities. It was formed in 1773 by a group of stockbrokers who had been doing business informally in local coffeehouses. . For individuals interested in investing in Carphone Warehouse, there is a Share Information Line: 0870 24 22 888 Carphone Warehouse is the only pan-European retailer of mobile telephony products and services. It is the leading independent retailer of mobile phones and accessories in the UK, Ireland, France, Spain, the Netherlands, Belgium and Sweden, in terms of market share.. Carphone Warehouse's business was established in 1989 and has grown rapidly during the 1990's under the leadership of Charles Dunstone, the CEO and Chairman, and David Ross, the Chief Operating Officer. From the outset, Carphone Warehouse aligned itself with the consumer offering "simple, impartial advice" in a retail market where most distributors or service providers were tied to one or a limited number of network operators. Carphone Warehouse provides a growing distribution platform for the mobile phone network operators and equipment manufacturers in Europe. Carphone Warehouse has a growing telecoms and related services division, which includes Value Telecom, its own mobile virtual network operator A Mobile Virtual Network Operator (MVNO) is a company that provides mobile (sometimes called wireless or cellular) telephone service but does not have its own allocation of the radio frequency spectrum nor all of the infrastructure required to provide mobile telephone service. . Carphone Warehouse has also established a Wireless Internet Services business and has developed mobile data and internet services. In the financial year ended 25 March 2000, Carphone Warehouse generated total turnover of approximately (pound)698 million and EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) A metric used to show a company's profitability, but not its cash flow. EBITDA became popular in the 1980s to show the potential profitability of leveraged buyouts, but has become (pre-exceptionals) of approximately (pound)41 million, primarily from its core business of retailing mobile telephony products and services. Carphone Warehouse operates from over 800 stores in 14 countries across Europe, branded under the Carphone Warehouse and Phone House names employing more than 4,000 people. It has also recently agreed to acquire up to a further 98 retail locations in Germany. The total number of connections to mobile phone networks made through Carphone Warehouse exceeded 2.3 million during the financial year ended 25 March 2000. 2. AOL Europe AOL Europe is the leading multinational Internet, online and e-commerce services provider. Through its successful multiple-brand strategy, AOL Europe operates the leading AOL, CompuServe and Netscape Online services, AOL Instant Messenger See AIM. , AOL and CompuServe portals in nine countries and four languages across Europe. AOL is the service for the whole family, providing its members with interactive education, entertainment, financial and information content while giving access to a global online community. CompuServe is aimed at the corporate customer and 'new professional' user offering specialised information, large-scale databases, matchless forums and professional communication tools. Netscape Online, AOL UK's subscription-free online service, is targeted at the UK 'value' sector and provides pure, high-performance Internet access See how to access the Internet. . As part of its AOL Anywhere strategy, AOL Europe has announced a number of alliances with technology manufacturers and mobile network operators, to extend its world-class content, community and hallmark ease of use to the mobile platform. From the first service launch in 1995, AOL Europe's multiple brands now reach more than 4 million households across Europe. This announcement has been issued by, and is the sole responsibility of, The Carphone Warehouse Group Limited (to be reregistered as a public limited company) ("Carphone Warehouse") and has been approved for the purpose of section 57 of the Financial Services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. Act 1986 by Credit Suisse First Boston Credit Suisse First Boston was originally the trading name of the Financière Crédit Suisse-First Boston, a London-based 50-50 investment banking joint venture formed in 1978 between the First Boston Corporation and Credit Suisse. (Europe) Limited ("Credit Suisse First Boston"), which is regulated in the United Kingdom by The Securities and Futures Authority Limited. Credit Suisse First Boston is advising Carphone Warehouse in relation to the proposed flotation flotation or froth flotation Most widely used process for extracting many minerals from their ores. The method separates and concentrates ores by altering their surfaces so that they are either repelled or attracted by water. and global offer (together the "Global Offer") and no one else and will not be responsible to anyone other than Carphone Warehouse for providing the protections afforded to customers of Credit Suisse First Boston, nor for providing advice in relation to the Global Offer. This announcement does not constitute, or form part of, an offer, or any solicitation solicitation In criminal law, the act of asking, inducing, or directing someone to commit a crime. The person soliciting another becomes an accomplice to the crime. The term also refers to the act of obtaining bribes, as well as to the crime of a prostitute who offers sexual of an offer, for securities and any purchase of, or application for, shares in the Global Offer should only be made on the basis of information contained in the prospectus to be issued in connection with the Global Offer. Prices and values of, and income from, shares may go down as well as up. Persons needing advice should consult a professional adviser. Stabilisation/FSA. This announcement is not for release, publication or distribution in, or into, Canada, Australia or Japan. Furthermore, neither the announcement, nor any copy of it, may be taken or transmitted into the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. , or distributed, directly or indirectly, in the United States or to any US person (as such terms are defined in Regulation S under the US Securities Act of 1933, as amended (the "Securities Act")). Any failure to comply with this restriction may constitute a violation of United States securities laws. This announcement is not an offer of securities for sale in the United States, Canada, Australia or Japan. In particular, the shares in Carphone Warehouse are not being registered under the Securities Act and may not be offered or sold in the United States or to or for the account or benefit of US persons (as such terms are defined in Regulation S under the Securities Act) unless registered under the Securities Act or pursuant to an exemption from such registration. Carphone Warehouse does not intend to register its shares under the Securities Act. Any offer of shares in Carphone Warehouse in the United States will only be made by means of an offering circular Offering Circular An abbreviated prospectus for a new security listing. Delivered to individuals and brokerage houses, these documents are issued to arouse interest in the new issue. Notes: An offering circular allows investors to access information regarding a new issue. that will contain detailed information about Carphone Warehouse and its management, as well as financial statements. (a) Previously released June 12, 2000. |
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