Edison Investment Research - GO Internet (GO) Initiation: Italian 4G wireless broadband provider

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Edison Investment Research

Initiation: Italian 4G wireless broadband provider

GO internet raised â‚¬5m to fund an accelerated roll-out of its 4G services in its two licensed regions in Italy and potentially elsewhere. By targeting â€˜mobile-onlyâ€™ homes, GO hopes to increase significantly the rate at which it attracts subscribers. The group is already EBITDA positive and has sufficient liquidity to fund it to cash flow breakeven. If management can execute on plan we believe there is plenty of upside opportunity to the share price, which discounts no increase in growth from its pre-IPO rate and trades at a significant discount to our base case DCF of â‚¬4.7/share.

13/10/2014 15 EN

Underlying

GO Internet

GO internet SpA. GO internet SpA is an Italy-based company engaged in the telecommunication services industry. The Company specializes in broadband technology, though wireless Internet and mobile phone communication. GO internet SpA provides Internet services using Worldwide Interoperability for Microwave Access (WiMAX/LTE) fourth generation wireless technology (4G) for mobile devices. It provides also telephone services through the VoIP protocol. The Company offers its services in the domestic market, including the Marche and Emilia-Romagna regions. In addition, GO internet SpA operates through rights of use guaranteed by the Ministry of Economic Development. The main shareholder of the Company is Gold Holding Srl.

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IT0005038002 Italy

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Edison Investment Research

Edison is an investment research and advisory company, with offices in North America, Europe, the Middle East and AsiaPac. The heart of Edison is our world renowned equity research platform and deep multi-sector expertise. At Edison Investment Research, our research is widely read by international investors, advisors and stakeholders. Edison Advisors leverages our core research platform to provide differentiated services including investor relations and strategic consulting.

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Initiation: Italian 4G wireless broadband provider

1 director sold

GO internet - Full speed ahead on 5G

GO internet - Adding fibre and 5G capacity

Norcros - Sale of Johnson Tiles UK agreed

Henderson Far East Income - Repositioning to raise total returns

Freelancer - AI to drive return to growth

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