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Technology Stocks : IDT *(idtc) following this new issue?* -- Ignore unavailable to you. Want to Upgrade?

To: Condor who wrote (8034)	5/20/1999 12:01:00 AM
From: wl9839	Read Replies (1) \| Respond to of 30916

NY Times IPO Writeup May 19, 1999 Internet Phone Caller Plans Offering By SETH SCHIESEL In apparently the first initial public offering of stock in a company that focuses exclusively on transmitting phone calls using Internet technology, Net2phone Inc., a subsidiary of the IDT Corporation, filed Tuesday for an initial public offering with the Securities and Exchange Commission. Two weeks ago, RSL Communications Ltd., one of IDT's rivals, said it planned to sell shares in its Delta 3 Internet-calling unit. But RSL has not yet filed the formal paperwork with the S.E.C. necessary to begin that process. RSL said it planned to make such filings next month. Net2phone, which is based in Hackensack, N.J., filed a 306-page registration statement with the securities regulators late Tuesday. Net2phone is widely considered the No. 1 Internet telephone carrier. According to the registration statement, it now has annualized revenue of more than $26 million. Some major investors have apparently endorsed Net2phone's business plan. According to the registration, Softbank, the Japanese technology company, already owns about 10 percent of Net2phone while units of America Online and General Electric each own more than 5 percent. The registration says Net2phone plans to raise as much as $50 million in the offering. Because it does not specify the number of shares to be sold, and at what prices, it was unclear what the company's overall market value would become after an offering. If the offering is a success, it would be the latest coup for Howard S. Jonas, chairman of IDT, which would remain Net2phone's largest shareholder. Jonas helped pioneer a form of international communications known as callback. Jonas and IDT declined to comment Tuesday. According to the registration, the offering is being underwritten by Hambrecht & Quist, BT Alex. Brown and Bear, Stearns & Company.