SANTA FE CAPITAL GROUP, (NM), Inc. (“SANTA FE”), is the leading investment banking firm servicing the Internet service provider (“ISP”), Web hosting and e-commerce industries. SANTA FE effected the first acquisition in the ISP industry – AGIS and Network 99 and it found buyers for two other national backbones: News Corporation’s backbone was aquired by Ziplink and DataXchange was acquired by RMI.Net. We have served as intermediary in more transactions involving more ISPs and Web hosters than any other similar investment banking firm in the world: 60 transactions in more than four years.
SANTA FE’s primary business is raising capital privately, finding buyers for owners of companies that seek to sell, and finding and assisting in the acquisition of targets for buyers. Its secondary channels are valuations, industry studies and seminars.
SANTA FE has established a franchise in the ISP and Web hosting market. The underpinnings of this franchise are the following:
we find the best acquirers for our ISP clients;
we find the best investors for our Internet-related clients;
we act rapidly to get transactions for our deals early in the engagement; and
because of the ubiquity of our frequently published valuation spreadsheets,
SANTA FE is one of the price setters in the purchase and sale of ISPs and Web hosters.
More ISPs and Web hosters seeking to be acquired list themselves with SANTA FE than any other intermediary. Presently more than 40 ISPs and Web hosters are listed with SANTA FE.
SANTA FE has initiated and advised on the sale or venture capital funding of 60 Internet companies since August, 1995, ranging in size from $250,000 to $12.5 million, with an average transaction size of $2.8 million.
SANTA FE has advised telephone companies (Telefono Larga Distancia), public utilities (Central & Southwest), and cable TV providers (Helicon) on their ISP strategies.
SANTA FE has represented a number of cable TV carriers, CLECs and local telephone companies in their search for ISPs to acquire in their MSOs for cross-marketing and brand extension purposes.
Those We Have Served:
Among the clients that SANTA FE has served include;
Applied Theory Communications, Best Internet Communications, Inc.., AGIS, CastleNet, Clever Computer Corp.,
CRL Network Services, Inc.., Cybergate Corp.., DataXchange Internet Services, Inc..,
Global 2000, Gnat Net, Inc.., InterAccess, Inc.., Interactive Associates, Inc.., Interland, Inc..,
Interliant, Inc.., InternetAmerica, Internet of Asheville, Java Net, Network 99, Inc..,
News Corporation, Pioneer Global Comunications, Inc.., Tech-Comm, Inc.., U.S. Internet, Inc..,
Xing Technology Corp.., Xnet, and Ziplink, among many others.
More Cash Flow:
SANTA FE, will show you 25 new cash flow channels for your ISP or Web hoster. Ask for our brochure
“25 Ways To Bring Cash Into Your ISP.”
A handful of these can be seen by visiting one of our Web sites:
Latin America is an Emerging Market:
The major nations of Latin America are becoming Internet-aware but they are about 18 months behind the U.S. in number of ISPs per capita.
The Telecom companies in Latin America are making strategic investments in native ISPs and toolmakers. Our contacts in Miami and Brazil can reach these investors.
Buy Your Neighbor:
We encourage our ISP clients to acquire their smaller competitors. Here’s a formula for doing so:
You have 2,000 dial-up subscribers. Your competitor has 4,000, which pay $20 per month. You and your competitor agree to your axquiring its subscribers for $130 per converted subscriber, or $416,000 (if 80% or 3,200 connect.
You and your competitor agree to a 12 month pay out of $34,667 per month. The 3,200 newly acquired subscribers bring you $64,000 per month and $768,000 over 12 months. For annual or semi-annual payers, the seller sends over the renewal checks to you as it receiv4es them. The seller keeps (or sells) cash, receivables, inventory, equipment and debts. It makes about $500,000 in the aggregate on the deal. You raise over $300,000 and gain 3,000 new subscribers.