- some comparisons have been made to SEEK which listed on the ASX last year at approximately $2.00 and is currently trading at $4.60 and a price earnings (PE) ratio of 42! (wow, only found this out tonight - it must have some exponential earning per share in the pipeline, although this would be nothing compared to the PE of Google)
- wotif.com has a 35% of market share of o/night accomodation in Australia; with some capital behind it, brand flooding may occur such that its market share is substantially increased (and typically with e-commerce, branding is 'winner takes all' - for example, Amazon, SEEK, eBay, Google, etc.)
- wotif.com is offering a 4.5% dividend yield; not bad returns even before any capital gain is factored into the equation!
A$172 million IPO has closed heavily oversubscribed with the shares priced at A$2.00 - the top-end of the indicative range. The general public has missed out with institutions scaled back to as little as one fifteenth of their requested allocations.