CMS ProAlfa PROJECTS A DYNAMIC INCREASE IN FOREIGN OFFERS ON NEWCONNECT.

Another Czech company iCom Vision Holding, a.s. successfully completed a private placement and now seeks a listing on NewConnect in late January and February 2011. The placement took place in Poland and in the Czech Republic. This will be the fourth foreign company listed on the alternative trading system in Warsaw and the third company introduced to the NewConnect by CMS Corporate Management Services.

CMS is currently consulting ten entities interested in entering the NewConnect market, one of which has annual turnover exceeding PLN 100 million. Half of these companies are foreign entities.

iCom Vision Holding, a.s. has been active in its market since 2002, and has since that time maintained mobile content and applications distribution agreements with all mobile operators in the Czech and Slovak Republics. The Company’s focus since 2009 has been on the delivery of marketing and corporate communications to end users via integrated mobile and Internet services. The company has raised almost PLN 3 million, through a private placement among Polish and Czech investors.

The company stands ready to consolidate a fragmented industry of specific mobile applications.

iCom expects further development of communications services, which will be an added value for mobile users, including: Facebook, Twitter, Skype – said Mrs. Boguslawa Skowronska, CEO of  CMS Corporate Management Services, Authorized advisor to the company.

iCom Vision Holding, a.s. will be the fourth foreign company listed on NewConnect.  In 2008 and 2009, CMS Corporate Management Services was the first authorized advisor to introduce two foreign companies to NewConnect – Photon Energy a.s. and BGS Energy a.s. Photon Energy capitalization has grown fivefold since its listing, and the company had revenues for the 9 months of 2010 at PLN 200 million. Based on 3 quarters of 2010, sales of Czech Photon Energy, represents 1/3 of the sales of all companies listed on NewConnect. On NewConnect is also listed Bulgarian property developer Intercapital Property Development ADSIC (ICD).

- CMS ProAlfa is currently consulting ten entities interested in entering NewConnect market, one of those companies has an annual turnover exceeding PLN 100 million. Most companies are foreign entities, mainly from the Czech Republic. The average capital needs of companies with whom CMS ProAlfa cooperates, range from 2 to 40 million PLN - said Boguslawa Skowronska.

This is a clear jump in value as compared to previously closed placement offers and, in her opinion, a clear signal that medium-sized companies look seriously at the NewConnect market as a source of capital to finance development plans. So far, this market was mainly associated with start-ups, usually with a technological profile. – NewConnect stands for much lower transaction costs compared to the main market and quick and transparent procedures for companies that need equity capital – said Boguslawa Skowronska. 

NewConnect is the fastest growing alternative market in Europe, and the only alternative stock exchange market in Central and Eastern Europe region. From a practical point of view NewConnect is the only option to raise equity capital from the public market for small- and medium-sized businesses in the CEE region. - It is worth mentioning that the number of IPO’s on NewConnect in 2010 was higher than of the other alternative stock markets in Europe, which include: MAB in Spain, Entry Standard in Frankfurt, AIM in London, or EuroMTF in Luxembourg – said Boguslawa Skowronska. According to Mrs. Skowronski this is a precedent and an opportunity for the Warsaw Stock Exchange, which wants to be a major player in the region and in Europe. NewConnect market capitalization at the end of November 2010 amounted to nearly PLN 5 billion, which means over 100% increase compared to the end of November 2009. During the same period NCIndex increased by over 30%, which is a phenomenal result compared to the Warsaw Stock Exchange Index WIG, which in the same period has increased by 14.6%.