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Technology Stocks : Allaire -- Ignore unavailable to you. Want to Upgrade?

To: dr. z who wrote (27)	1/17/1999 10:25:00 PM
From: TechMkt	Read Replies (1) \| Respond to of 612

Just got this off YAHOO! Fez _____________________________ Sunday January 17, 6:10 pm Eastern Time IPO VIEW-Some of lather seen off Internet romance By Reshma Kapadia NEW YORK, Jan 17 (Reuters) - Software firm Allaire Corp. (Nasdaq:ALLR - news) and 3D graphics firm NVidia Corp. (Nasdaq:NVID - news) are seen catching the strongest wind among this week's new issues. But analysts said demand for the two tech deals probably will not approach the frenzied interest in recent Internet offerings. Cambridge, Mass.-based Allaire develops and supports application devices and server software for Web building. Its technology can be used to build transaction-oriented Web sites and applications in electronic commerce. The company is offering 2.2 million shares at $15 to $17 each through lead underwriter Credit Suisse First Boston. ''Allaire has a very strong, spirited following among Web developers. They have small business clients and big corporate clients,'' said Will Smith, an analyst at Renaissance IPO Fund. It also has a number of competitors, including heavyweight Microsoft Corp. (Nasdaq:MSFT - news) and database platform firms including Sun Microsystems Inc. (Nasdaq:SUNW - news) and Oracle Corp.(Nasdaq:ORCL - news), analysts noted. Research firm International Data Corp. forecasts that Web page design and application development tools market is expected to grow to $1.5 billion in 2002. ''Allaire should do well in the short-term,'' said Mark Basham, an analyst at Standard & Poor's. ''In the longer term, I would be very worried about competition from everybody. The market for web site development is exploding. Inevitably, there are going to be losers on the Web.'' Although analysts expected Allaire to open at a premium, it was not seen getting the euphoric welcome investors gave CBS Corp. and Data Broadcasting's venture Marketwatch.com Inc. (Nasdaq:MKTW - news), which soared 474 percent after its IPO. ''Everyone on this planet has heard of CBS. The guy on the street has not heard of Allaire,'' said Smith. ''You'll get institutional demand, but the deal may not see the dramatic pops of pure Internet plays.''