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Technology Stocks : ITURF Inc. ( NASDAQ:TURF ) -- Ignore unavailable to you. Want to Upgrade?

To: Big Dog who wrote (570)	11/17/1999 4:30:00 PM
From: Big Dog	Read Replies (1) \| Respond to of 614

dELiAs hopes to separate from iTurf Web affiliate NEW YORK, Nov 17 (Reuters) - Teen retailer dELiAs Inc. (NasdaqNM:DLIA - news) and its iTurf Inc.(NasdaqNM:TURF - news) Internet affiliate Wednesday said iTurf is making a regulatory filing that would allow dELiAs to sell 2 million shares of iTurf common stock as a first step in totally separating the two companies. The companies said iTurf plans this week to file an amendment with the U.S. Securities and Exchange Commission to register the shares for potential sale. In a statement, dELiAs President Evan Guillemin said "The eventual separation of dELiAs and iTurf would be an important step for both companies, which have enjoyed rapid growth in their respective but distinct roles as marketers to Gen Y. "We believe the value of dELiAs and iTurf will be better recognized by the market if the two entities trade separately and we will make every effort to accomplish that goal. ''With the exception of the 2 million shares being registered, dELiAs does not plan to sell any of its equity in iTurf. We intend to distribute the remaining shares of iTurf to our shareholders, subject to relevant business, tax and legal factors being resolved by the two companies.'' Of the 2 million shares being registered, dELiA's has only entered into an agreement to sell 325,000, to private investor Kistler Joint Venture. The remaining 1,675,000 shares will be held until the company decides to sell them. ''We've registered it (the remainder of the shares) for sale so that if the market price is good for us and timing is right, we can sell them right away,'' said Timothy Schmidt, dELiAs general council. ''Right now we're not in any discussions with anyone.'' dELiAs currently owns about 66 percent of the outstanding common stock of iTurf and about 92 percent voting power. After the sale of shares to Kistler Joint Venture, dELiAs would own about 64 percent of the outstanding common stock. Shares of iTurf were off 1/8, trading at 12-1/4 on the Nasdaq stock market. dELiAs shares were off 1/8 at 7-11/16, also on the Nasdaq. dELiAs sells apparel, accessories and home furnishings to so-called members of ''Generation Y,'' or youth and adults between the ages of 10 and 24 years. ITurf is a network of community-oriented Web sites focusing on the same demographic. ''(ITurf's) business model is much more about driving page views, driving traffic and increasing users,'' Guillemin told Reuters. ''We've been really happy about the way (iTurf) has been moving in all three of those directions, and we think it's to our benefit ultimately to separate the two business models.'' Guillemin said dELiA*s plans to use the proceeds from the sale to Kistler to continue its planned retail store expansion.