"Broadcast.com star of light IPO week", By Darren Chervitz, CBS MarketWatch Last Update: 11:27 AM July 13, 1998
NEW YORK (CBS.MW) -- Fledgling Internet media concern
broadcast.com highlights what will otherwise likely be a light, uneventful week in the new issue market.
Dallas, Texas-based broadcast.com, the leading
provider of streaming media content on the
Internet, expects to sell 2.5 million shares at $11
to $13 each in the upcoming offering. Morgan
Stanley Dean Witter is the lead underwriter for the
company, which changed its name from AudioNet
when it filed for an IPO.
Broadcast.com, which generated $3.2 million in
the first quarter of the year and $6.9 million in all of 1997, will be valued at about $202.6 million after the completion of the IPO, not including outstanding options.
In addition to offering entertainment programming, such as live sports events, the company has also been growing its business of handling special media streaming assignments for corporations, such as stockholder meetings or conferences. RealNetworks (RNWK), which went public last fall, is the company's most notable competitor.
Analysts expect broadcast.com to do well when it opens for trading. John Fitzgibbon, editor of the IPO Reporter, sees the stock notching at least a two point premium above its offering price.
Internet deals have been the IPO market's sure thing so far this year. Even during its recent slump, winners have inlcuded software.net (SWNT) and NetGravity (NETG). GeoCities, the online community, is expected to price next week in another highly anticipated Internet-related deal. |
