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Kulcs-Soft seeks expansion abroad

Kulcs-Soft, a software developer that has applied to float its shares on the Budapest Stock Exchange, aims to keep its existing 40,000 clients and grow further as well as expand on foreign markets, the company said in its listing prospectus published late on Monday.

Kulcs-Soft said it has reached the point where its products, rather than the company itself, has competitors.

The company said it has never paid out a dividend and would reinvest its profits in the mid- to long-term. It declined to give a profit projection or estimate.

Kulcs-Soft has applied to float 6 million shares with a nominal value of HUF 10 apiece. The listing is expected to take place on October 30.

Kulcs-Soft chairman-CEO Tibor Kulcsár owns 99.75% of Kulcs-Soft.

Kulcs-Soft had net profit of HUF 28 million on revenue of HUF 370 million in the first half of 2009. For the full year in 2008, Kulcs-Soft had net profit of HUF 18 million on revenue of HUF 608 million. Profit doubled and revenue rose by about HUF 60 million from 2007.

The listing will be the second on the bourse this year. Bottled gas company KEG Central European Gas Terminal floated its shares in May.

In 2008, four companies floated their shares on the BSE. (MTI-ECONEWS)