Internet service provider (ISP) Caltiger.com is planning to enter the international long distance (ILD) business. Raja Mitra, senior vice-president, said the company was in talks with some international players for a strategic partnership. If Caltiger's proposal materialises, then the promoters stake, which is at 54 per cent at present, may be diluted.
Transatlantic and SMIFS Capital have 20 per cent each in the company while IIBI has 2 per cent. The balance is widely held.
Caltiger.com has launched Caltiger Gold, its paid internet service, last month. Mitra said, currently Caltiger Gold has a subscriber base of 20,000 across eight cities. This was in sharp contrast to 7.5 lakh subscriber base that Caltiger.com once boasted of, when the service was free.
Justifying the change in strategy, Mitra said, adspend across sectors declined which in turn took a toll on the ISP.
Caltiger.com, which clocked ad revenues of Rs 8 crore in 2000-01, saw a sharp decline last year when ad revenues were at Rs 3 crore as of December 2001. The company registered revenues of Rs 12 crore till December 2001, bulk of which was from network sales and value added services.
The company hopes to record revenues of Rs 20 crore by the end of this financial year. The company's institutional borrowings is at Rs 20 crore.
At present, Caltiger offers dial-up connection in 24 cities and corporate connectivity in 40 cities. Caltiger is expanding its dial-up connectivity from 24 to 50 cities and by March 31, 2002, with the help of its franchisee programme.
Subscribers can choose from a range of "unlimited surfing hours"--1 month introductory package at Rs 200, 6-month package is available at just Rs 1,000 and unlimited surfing for a year at Rs 1800. As introductory bonus, Caltiger Gold is offering a free holiday to national and international tourist spots for 2 nights and 3 days.
