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Technology Stocks : CMGI What is the latest news on this stock? -- Ignore unavailable to you. Want to Upgrade?

To: S.C. Barnard who wrote (2509)	10/29/1998 8:45:00 AM
From: surfinSteve	Read Replies (2) \| Respond to of 19700

Does IPO Stand For Initial Pullout Offerings? Here is the link: quote.com Note the Ryan Jacob quote near the end - - - Steve Nightly Business Report, Wednesday, October 28, 1998 at 21:26 SUSIE GHARIB: Well, Sprint (NYSE:FON) is the latest big name company to pull the plug on its Initial Public Offering and for the same reason, market conditions. Sprint hoped to sell its stock in its wireless operations, Sprint PCS, to raise $600 million. Sprint says it might reconsider the IPO in three or four months. The stock lost 1 and 13/16 today to 74 3/4. JEFF YASTINE: But Sprint is not the only company to back of out an IPO. New issues were running at the rate 44 a month before the August market high, and there were three in September and so far, only four in October. And as Scott Gurvey reports, that trend is expected to continue. SCOTT GURVEY, NIGHTLY BUSINESS REPORT, CORRESPONDENT: Five companies stuck their toes in the IPO pool last week, but four found the water too hot to handle. That's a far cry from the scene at the beginning of the year when Internet companies like GeoCities (NASDAQ:GCTY) and Broadcom (NASDAQ:BRCM) saw their shares skyrocket after initial offerings. Now the globe.com, an Internet portal company like GeoCities has canceled its offering after a week of delays and price cuts. Web server company Vignette withdrew its offering just three weeks after filing. HealthyOn a provider of Internet services for the health care industry pulled its IPO and in certainly one of the most unusual turnarounds on Wall Street, Zapata (NYSE:ZAP) has decided to stay in its current business, selling fish oil and fish by-products. That's because it couldn't raise the IPO money it needed to buy its way into the Internet sector. Conoco (NYSE:COC) was last week's lone success. Shares of DuPont's (NYSE:DD) giant oil subsidiary gave 8 percent on their first day of trading. Conoco was special. JOHN FITZGIBBON, EDITOR, IPO REPORTER: Conoco classic, large, brand name, big underwriters, large issue, with institutional following if you have anything other than that at this point in time, it's going to be difficult. GURVEY: That does not rule out Internet companies. eBAY continues to astound but the Online auction house has something most Internet companies do not, profits. Still, the virtual closing of the IPO market is driving firms to other sources of funds. HealthyOn raised $40 million in venture capital after canceling its IPO and there is still plenty of venture and even bank money available for investment. RYAN JACOB, PORTFOLIO MANAGER, THE INTERNET FUND: There is still a lot of private money around so, getting additional funding in order to maybe bridge this gap, isn't too terrible difficult for some of the better names. So, rather than go into a very turbulent market, they're opting to stay low for a while and basically try their luck maybe three or six months from now. GURVEY: There are still some companies in the Conoco class expected to issue stock this year. Analysts are waiting for Mutual of New York Money Group, Fox Entertainment and Ticketmaster Online. Scott Gurvey, NIGHTLY BUSINESS REPORT, New York. Nightly Business Report transcripts are available on-line post-broadcast. The program is transcribed by FDCH. Updates may be posted at a later date. The views of our guests and commentators are their own and do not necessarily represent the views of Community Television Foundation of South Florida, Inc. Nightly Business Report, or WPBT. Information presented on Nightly Business Report is not and should not be considered as investment advice. (c)1998 Community Television Foundation of South Florida, Inc.