MP3.com increases size and price of IPO
WASHINGTON, July 12 (Reuters) - Internet music distributor MP3.com Inc. said Monday it had raised the size and
estimated price of its initial public stock offering.
In an amended filing with the Securities and Exchange Commission, the San Diego company said it would offer 12.3 million
shares, up from nine million, at an estimated price of $16 to $18 per share, up from a range of $9 to $11.
Of the 12.3 million shares, MP3.com said it offered about 3.3 million to Arkaro S.A., a subsidiary of Groupe Arnault, which
has expressed interest in acquiring the music distributor's shares, according to the filing.
In July Groupe Arnault agreed to buy $150 million of advertising, promotion and marketing services from MP3.com over the
next three years, the filing said.
Groupe Arnault is a French corporation with interests in diverse companies.
MP3.com, which is named after popular downloading technology, has applied to trade on Nasdaq under the stock symbol
''MPPP.''
At the company's request, the underwriters have reserved up to 1.85 million shares for sale to artists and customers of
MP3.com, consultants, business associates and others.
The IPO will be made through Credit Suisse First Boston, Hambrecht & Quist, BancBoston Robertson Stephens and Charles
Schwab & Co.
Net proceeds will be used for marketing and promotional activities, capital expenditures, concert sponsorships and tours,
facilities expansion and related improvements, and general corporate purposes, including working capital and potential
partnerships and acquisitions. |
