ITurf Increases Initial Public Stock Sale for Second Time
New York, April 8 (Bloomberg) -- ITurf Inc., the online unit
of clothing retailer Delia*s Inc., increased its initial public
stock sale for a second time, by 26 percent to $90.3 million, to
accommodate strong demand for the shares.
The New York-based company now expects to sell 4.2 million
shares at $21 to $22, up from $16 to $18. The company boosted the
size of the offering by 75 percent on Tuesday, from 3.7 million
shares at $10 to $12 each.
ITurf, which sells clothes and provides chat rooms for 10-to-
24 year olds, a group it calls Generation Y, is one of the few
profitable Internet companies to sell shares. It earned $464,000
on revenue of $4 million in the year ended Jan. 31 after losing
$40,000 on revenue of $134,000 the previous year.
ITurf ''will do very well'' when trading begins, said Mark
Basham, an analyst with Standard & Poor's Equity Group.
Iturf, which says its target audience of 56 million people
has $278 billion of disposable income, operates popular web
sites. It said 35 million of its pages were seen in February, up
from 800,000 the same month a year earlier.
The company said it will use at least $6 million of the
proceeds for marketing this year, $4 million for capital
expenditures, $10 million to purchases shares in Delia*s and the
remainder for general corporate purposes.
ITurf will trade under the symbol ''TURF'' on the Nasdaq
Stock Market. BT Alex. Brown Inc. and Hambrecht & Quist LLC are
handling the sale... |
