| Intercept Group, Inc. The | |||
| Ticker: | ICG | 3150 Holcomb Bridge Road, Suite 200 | |
| Exchange: | NASDAQ-National Market | Norcross, GA 30071 | |
| Industry: | Financial (SIC Code 6099) | (770) 248-9600 | |
| # of Employees: | 161 | ||
| Type of Shares: | Common Shares | Filing Date: | 3/2/98 | |
| U.S. Shares: | 2,387,500 | Offer Date: | 6/9/98 | |
| Non-U.S. Shares: | 0 | Filing Range: | $8.00 - $9.00 | |
| Primary Shares: | 2,250,000 | Offer Price: | $7.00 | |
| Secondary Shares: | 137,500 | Gross Spread: | $0.49 | |
| Offering Amount: | $20,293,750 | Selling: | $0.29 | |
| Expenses: | $1,200,000 | Reallowance: | $0.10 | |
| Shares Out After: | 9,000,114 |
| Manager | Tier | Phone |
| J.C. Bradford & Co. | Lead Manager | (615) 748-9347 |
| Wheat First Butcher & Singer Capital Markets | Co-manager | (804) 782-3278 |
| Issuer's Law Firm: | Nelson Mullins Riley & Scarbourough |
| Bank's Law Firm: | Alston & Bird |
| Auditor: | Arthur Andersen |
Dollar amounts in U.S. millions except for per share data | |||||
| Full Year Audited Income | Latest Unaudited Income | Prior Unaudited Income | Balance Sheet | ||
| 12/31/97 | 12/31/97 | ||||
| Revenue: | $20.03 | Assets: | $9.44 | ||
| Net Income: | -$0.55 | Curr Assets: | $4.73 | ||
| EPS: | -$0.14 | Liabilities: | $10.91 | ||
| Prior EPS: | -$0.38 | Curr Liab: | $3.99 | ||
| Cash Flow/Oper: | $1.76 | Equity: | -$1.47 | ||
| Cash Flow/Fin: | -$0.27 | Cash: | $1.87 | ||
| Cash Flow/Inv: | -$0.61 | Working Cap: | $0.74 | ||
| Business Description |
| The company designs, develops, markets and implements a suite of fully integrated electronic commerce products and services primarily for community financial institutions in the United States. The Company's products and services include electronic funds transfer ("EFT"), data communications management, client/server enterprise software and other processing solutions. InterCept currently serves over 550 financial institutions and is the largest third-party processor of financial institutions' automated teller machines ("ATMs") in the southeastern United States. The Company has established marketing relationships with 9 of the 17 bankers' banks, which provide the Company access to over 4,500 of the approximately 11,000 community financial institutions nationwide. InterCept is a single source provider of a broad range of flexible electronic commerce solutions and supporting value-added products and services. The Company provides numerous EFT products and services, including ATM, point-of-sale ("POS") and scrip debit services, debit card processing, funds transfer and remote banking services. The Company licenses PC BancPAC(TM), a client/server enterprise software system that operates in a personal computing environment and (since October 1997) in a Windows NT(R) environment. |
| Competition |
| Current and potential competitors have established, and may establish in the future, cooperative relationships among themselves or with third parties to increase their ability to address the needs of the Company's prospective customers. Accordingly, new competitors or alliances among competitors may emerge and rapidly acquire significant market share. Many of the Company's current and potential competitors have longer operating histories, greater name recognition, larger customer bases and substantially greater financial, personnel, marketing, engineering, technical and other resources than the Company. As a result of these and other factors, the Company's competitors may be able to adapt more quickly than the Company to new or emerging technologies and changes in customer requirements, or to devote greater resources to the promotion and sale of their products. There can be no assurance that the Company will be able to compete successfully with existing or new competitors. Failure by the Company to adapt to emerging market demands and to compete successfully with existing and new competitors would have a material adverse effect on the Company's business, financial condition and results of operations. |
| Business Plan |
| InterCept's goal is to become the largest provider of electronic commerce products and services for community financial institutions in the United States. The Company plans to implement the following key strategies to attain its goal: (i) Cross-Market to Existing Customer Base and Maximize Recurring Revenues, (ii) Increase Data Communications Management and Optimize the InterCept Frame Relay Network, (iii) Complete Strategic Acquisitions, (iv) Expand Sales Force and Strategic Marketing Relationships and (v) Expand and Enhance its Products and Services. |
| Use of Proceeds |
| The proceeds from the proposed offering will be used to repay indebtedness, enhance marketing efforts, upgrade, enhance and expand the InterCept Frame Relay Network, redeem outstanding preferred stock and for working capital and for general corporate purposes including acquisitions. |