To: Boplicity who wrote (152863 ) 2/2/2000 1:31:00 PM From: stockman_scott Respond to of 176387
~OT~ Another Wireless Stock Shoots for the Moon...FYI... <<Wednesday February 2, 1:19 pm Eastern Time Telaxis shares soar over 200 pct in debut NEW YORK, Feb 2 (Reuters) - Shares of Telaxis Communications Corp. (NasdaqNM:TLXS - news) surged over 200 percent after the company made a $68 million initial public offering in the hot wireless communications market Wednesday. ''It's not too surprising,'' said Kenan Pollack, money editor at Hoover's Online. ''The wireless world is seeing enormous growth.'' Shares of the company, formerly known as Millitech Corp., last traded up 36-1/4 to 53-1/4 on the Nasdaq. It had priced its 4-million-share IPO above range at $17 per share through lead underwriter Credit Suisse First Boston. Based in South Deerfield, Mass., Telaxis supplies high-speed wireless access equipment to network service providers like Newbridge Networks Corp. (Toronto:NNC.TO - news) (NYSE:NN - news) and Motorola Inc. (NYSE:MOT - news), with Newbridge accounting for 81 percent of its sales for the nine months ended Sept. 30. Corey Ostman, chief technology officer at www.alert-ipo.com, said Telaxis shares were performing in line with his expectations but warned about future risk. ''There are so many different ways (wireless) can go. It's still very much in its infancy .... There's a huge amount of risk.'' Telaxis' products enable Internet access, electronic commerce, remote access, telecommuting and extensions of corporate networks to branch offices. Pollack said despite giant competitors, such as Swedish Ericsson (NasdaqNM:ERICY - news) and Finland's Nokia (NYSE:NOK - news), ''smaller companies (like Telaxis) may have an advantage as they can move faster .... In some instances, smaller is better.'' For the nine months ended Sept. 30, Telaxis incurred losses from continuing operations of $5.9 million from sales of $5.5 million. There are 15 million shares outstanding, following the offering.>>