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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Knighty Tin who wrote (88125)	1/9/2001 8:47:19 AM
From: Box-By-The-Riviera™	Read Replies (2) \| Respond to of 132070

MB.. perhaps you've already commented on this, otherwise, any thoughts? Divine’s Day: ‘Complete Vote of No Confidence,’ Analyst Says 1/8/2001 LISLE, Ill. – On the first day they could sell, divine insiders surely did. Millions of shares of Lisle, Ill.-based incubator divine interVentures hit the market today, trading with unprecedented volume and driving the market-maligned firm's stock price down by more than 33 percent. Typically, divine's trading volume is about 350,000. Today, it was 11 times that, or four million. "Today was a complete vote of no confidence on the part of investors," said IPO.com market analyst Dan McCarthy. The dive comes one day after some 30 million shares of divine were released from one of several post-IPO "lock-up" periods, during which insider shareholders, such as venture capital firms and directors, cannot sell the stock. According to divine spokesperson Judy Feinberg, an additional 25 million shares will hit the market in early March, mainly owned by firm executives and employees. Divine has approximately 136 million total shares outstanding. Until Sunday, only about 11 million of them were available to public markets. Today, divine's stock opened at $1.63 per share and plummeted 56 cents to $1.06 per share at market close. "I'm surprised it dipped that far. I didn't expect quite that much," McCarthy said. "But, we won't have a final verdict for another week. It's possible it could bounce back." McCarthy's optimism stems from the fact that divine has a whole lot of money sitting in the bank. "If they can find a better use of their money, they might still have a chance at rebounding," he added. In July 2001, all 136 million divine shares will be tradable. With a flood of more shares looming and its stock price now dangerously teasing the $1 red flag, delisting has begun to enter analysts' minds. "[Delisting] definitely seems like a possibility over the next few months, but [divine's] cash position could act as counterweight," McCarthy said. Divine's exchange, the Nasdaq, allows a company 30 days to raise its price above $1 once it first falls. By ADAM FENDELMAN Associate Editor Personal Technology Reporter adamf@eprairie.com