MagiNet Corporation
Proposed Ticker:MGNT 405 Tasman Drive
Exchange:NASDAQ-National Market Sunnyvale, California 94089
Industry:Transportation (408) 752-1000

All share information is proposed
Type of Shares:Common Shares Filing Date:9/17/96
U.S. Shares Filed:4,000,000 Filing Range:$12.00 - $14.00
Non-U.S. Shares Filed:1,000,000 Offering Amount: $65,000,000
Primary Shares:5,000,000 Expenses:$1,050,000
Secondary Shares:0 Shs Out After:18,435,436

ManagerTierPhone
Lehman Brothers IncorporatedLead Manager (212) 640-6129
Hambrecht & Quist IncorporatedCo-manager (415) 576-3423

Audited
Income
Latest
Unaudited
Income
Prior
Unaudited
Income
Balance
Sheet
12/31/95 6/30/96 6/30/95 6/30/96
Revenue:$8.69$7.92$3.30Assets:$52.19
Net Income:-$12.80-$7.33-$5.39Liabilities:$32.02
EPS:-$1.03-$0.59Equity:$20.16

Note: Dollar amounts are in U.S. millions; Audited figures expressed as full year,
unaudited figures are partial year

Business Description
MagiNet is the leading supplier of on-demand interactive video entertainment and information services to the hospitality industry outside of North America. The company installs integrated video systems that allow hotel guests to order pay-per-view movies. MagiNet has recently expanded these systems into entertainment and information gateways that offer an increasingly varied range of services, such as on-demand billing summaries, express checkout, personalized messaging, guest surveys and room service ordering. The company expects to implement additional revenue enhancing services such as in-room casino-style gaming, advertising, video games, financial news, Internet access and in-room shopping in selected markets beginning in 1997. To date, the company has focused principally on leading hotels in the Pacific Rim. Recently, the Pacific Rim has been experiencing a higher rate of economic expansion and hotel construction than any other region in the world.

Use of Proceeds
The proceeds from the proposed offering will be used for systems installations, working capital and general corporate purposes.

Last updated: 12/29/96

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