United Internet Plans to Go For IPO of its Business Application Division

German Internet service provider United Internet declared that it may go for a public offering of its Business Application division to fund acquisitions.

Ralph Dommermuth,CEO, United Internet stated: “Separate access to the capital market and Applications shares as an additional acquisition currency would make it easier to fund takeovers from equity.”

Also, the company has come in terms of buying Polish web-hosting firm home.pl from investors led by private equity fund V4C Eastern Europe for $150 million in cash to expand its footprint in the eastern European country.

The company has been actively investing in IT buinesses, acquiring stakes in companies like Rocket Internet and Versatel.

Similarly, it has also acquired web-hosting groups like InterNetX and Sedo some time back.

If United Internet takes a step forward toward IPO of one of its division, the flotation would start in two years, declared the company. It expects the division to generate about 600 million Euros of sales this year. By comparison, it sees group sales reaching around 3.7 billion Euros, reports Reuters.