LHS Group, Inc.
(www.lhsgroup.com)
Ticker:LHSG Six Concourse Parkway, Suite 2700
Exchange:NASDAQ-National Market Atlanta, GA 30328
Industry:High-Tech (SIC Code 7371) (770) 280-3004

Offering Information
Type of Shares:Common Shares Filing Date:2/21/97
U.S. Shares:3,840,000 Offer Date:5/15/97
Non-U.S. Shares:960,000 Filing Range:$12.00 - $14.00
Primary Shares:3,345,000 Offer Price:$16.00
Secondary Shares:1,455,000 Gross Spread:$1.12
Offering Amount: $62,400,000 Selling:$0.62
Expenses:$620,000 Reallowance:$0.10
Shares Out After:25,050,000

Primary Underwriting Group
ManagerTierPhone
Goldman, Sachs & Co.Lead Manager (212) 902-5959
Cowen & CompanyCo-manager (212) 495-6000
Robertson, Stephens & CompanyCo-manager (415) 989-8500

Legal Counsel, Auditor and Registrar
Issuer's Law Firm: Alston & Bird
Bank's Law Firm: King & Spalding
Auditor: Ernst & Young
Registrar/Transfer Agent: SunTrust Bank of Atlanta

Selected Financial Data

Dollar amounts in U.S. millions except for per share data
Full Year
Audited
Income
Latest
Unaudited
Income
Prior
Unaudited
Income
Balance
Sheet
12/31/96 12/31/96
Revenue:$56.86Assets:$43.82
Net Income:$3.42Curr Assets:
EPS:$0.16Liabilities:$31.49
Prior EPS:$0.02Curr Liabilities:
Cash Flow/Oper:-$3.75Equity:$12.32
Cash Flow/Fin:Cash:
Cash Flow/Inv:

Business Description
The company is a provider of client/server based billing and customer care solutions to providers of wireless and wireline telecommunications services in the Americas, Europe and Asia. The company's products enable carriers to compete more effectively in a rapidly growing telecommunications market. The company's Business Support and Control System software is a scalable, modular billing and customer care solution that can be installed quickly and can support innovative marketing and pricing of telecommunications services. BSCS has been licensed to approximately 60 carriers in over 25 countries and supports approximately 3.5 million subscribers. The deregulation of telecommunications markets worldwide and rapid advances in technology has led to a large increase in the number of carriers worldwide, creating a highly competitive market is motivating carriers to install advanced billing and customer care systems as they introduce new services and enter new markets.

Use of Proceeds
The proceeds from the proposed offering will be used for general corporate purposes including working capital.

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