Shares in Inflight ATI, the Irish-based aircraft credit company, are expected to begin trading on the Luxembourg Stock Exchange on August 9th after the offer period closes on Friday.
The company is placing some 11 million new ordinary shares - or 30 per cent of its share capital - with investors to raise €11 million (£8.7 million). The money raised will be used to fund further research and development of its data communications products and its marketing activities.
Inflight ATI has developed the technology to operate credit-card validation and cash dispensing facilities on board aircrafts. In its prospectus it says it is "in position to be the first telecommunications network service provider, for online financial transactions, in the sky".
The Dun Laoghaire-based company, which is chaired by former Taoiseach Mr Albert Reynolds, has already pre-placed €8 million worth of shares with investors in Britain, France, Hong Kong, Germany and Ireland.
In the prospectus, the company publishes financial projections pointing to revenues of €2.4 million in the year ended July 31st, 2000 rising to €8.9 million the following year and €16.6 million in 2002. It also projects that a pre-tax loss of €4.9 million next year will become a profit of €5.2 million two years later.
ATI was founded in 1984 by Inflight director Mr Thomas Lee in California and moved its research and development activities to the Republic in 1986. Its assets were purchased by Inflight ATI this year and include a patent for a mini-ATM which will dispense cash to passengers during their flight using credit or debit cards.
The prospectus also reveals that Mr Reynolds, as chairman, is entitled to receive a fee of €57,200 (£45,000) per annum for 12 days worked each year. Additional days worked will be remunerated at a rate of €1,300 (£1,000) per day.
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