WIT CAPITAL ANNOUNCES STRATEGIC INVESTMENT FROM Broadband Pioneer MediaOne(R) Group
First Online Investment Bank Continues to Receive Financing from Industry Leaders
NEW YORK, Jan. 19 /PRNewswire/ -- Wit Capital, the pioneer online investment bank, announced today that it has closed a strategic investment from a division of MediaOne(R) Group (NYSE: UMG), one of the world's largest broadband communications companies. Wit Capital has secured the financing from MediaOne Interactive Services, Inc., which is dedicated to investing in unique Internet content and innovative technology for broadband deployment.
The investment reflects Wit Capital's strategy of developing strong relationships with leaders in technology and finance, and brings the total amount of venture capital secured from September 1998 through year-end to $21 million. This sum includes the investment from MediaOne Interactive Services, previously announced investments from Draper Fisher Jurvetson and Mitsubishi, and a number of undisclosed investments from other venture capital firms and individual investors.
"This investment from MediaOne Interactive Services represents much more than financial backing," commented Wit Capital president and COO Ronald Readmond. "We believe that all of our business units, from individual access to IPOs to our upcoming Digital Stock Market, will benefit from the tremendous potential of broadband distribution. This partnership allows us to continue to expand our reach through access to MediaOne's fast-growing customer base."
"From the beginning, the Internet has been about empowering the individual," said Tom Cullen, president of MediaOne Interactive Services. "We are very excited about Wit Capital's efforts to democratize Wall Street and look forward to offering their services to subscribers of MediaOne Express, MediaOne's high-speed Internet access service."
MediaOne Interactive Services, the most active Internet investor among its broadband peers, makes strategic minority investments with Internet content, commerce and technology companies delivering sports, travel, entertainment, family, business, education and other services. MediaOne Interactive has invested in such leading content and commerce Web sites as SportsLine USA, Preview Travel, Autobytel.com and Women.com, as well as cutting edge companies like Quokka Sports, IPIX and Liquid Audio.
The investment from MediaOne Interactive Services will go toward Wit Capital's further expansion, including the addition of technology and staff.
About Wit Capital
Wit Capital (www.witcapital.com) has distributed securities over the Internet in over 40 major public offerings since it launched its investment banking services in September 1997. The firm has now graduated to acting as a co-manager, designated e-Manager(TM), in public offerings. Wit Capital also has a strong private equity capacity and in the second quarter of 1999 will launch the Web's first digital stock market -- through which investors will be able to avoid spreads by buying and selling Nasdaq and listed shares directly with other investors, even when the traditional markets are closed.
The firm was founded by Andrew Klein in April of 1996, after he completed the first ever online public stock offering for his microbrewery, Spring Street Brewing Company. In April of 1998, former vice chairman of Salomon Smith Barney, Robert Lessin, joined the firm as chairman and CEO and in June of 1998 former vice chairman of Charles Schwab, Ronald Readmond, was appointed president and COO. Wit Capital is a registered broker-dealer and member of NASD and SIPC.
About MediaOne Group
MediaOne Group (NYSE: UMG) is one of the world's largest broadband communications companies, bringing the power of broadband and the Internet to more than seven million customers in the United States, Europe and Asia. The company also has interests in some of the fastest-growing wireless communications businesses outside the U.S., serving more than three million customers. For 1997, the businesses now part of MediaOne Group produced $6.6 billion in proportionate revenue.
SOURCE Wit Capital
-0- 01/19/99 /CONTACT: Curtis Hougland, curtis@middleberg.com, or Sarah Clark, sarah@middleberg.com, both of Middleberg + Associates, 212-888-6610, for Wit Capital; or Colleen Miller of MediaOne Interactive Services, 303-705-5152, or
cmiller@mediaone.com/
/Web site: witcapital.com (UMG)
CO: Wit Capital; MediaOne Interactive Services, Inc. ST: New York
IN: FIN MLM SU: JVN FNC |
