|
The week ahead in IPOs
|
 |
October 3, 1999: 5:50 p.m. ET
Webvan has become the week's darling; Jupiter, Neuberger also on calendar
|
NEW YORK (CNNfn) - Another slate of technology companies plans to go public this week following last week's string of strong company debuts.
In the largest IPO and the one attracting the greatest analyst attention, Webvan, "WBVN," is scheduled to sell 25 million shares priced in the $11 to $13 range.
The online grocer has become a favorite among analysts who like the company's business model, high-profile investors and well-known management.
Louis Borders, the founder of the book store Borders Group, is Webvan's CEO. CBS Inc. Knight-Ridder Inc. and Softbank all have invested in the Foster City, Calif.-based online grocer.
But of greater note to analysts are the company's distribution and automation plans.
Currently available to San Francisco-area online shoppers only, Webvan plans expansion to 30 cities, offering free, 30-minute grocery delivery for orders over $50.
While it's not without competitors, Webvan stands out, analysts say, for its commitment to building an automated package handling system and deep distribution network.
"They realize they have to be executing," said Mark Basham, IPO analyst at Standard & Poor's. "It's not just about a Web site."
With many online retailers focusing on their Web sites, Webvan also is concentrating on the bricks-and-mortar side of the business, analysts say.
"They're going to be set up to do distribution, period," said Charles Kaplan, IPO analyst at Equity Analytics.
Also ahead, DSL Net Inc., "DSLN," plans to float 9.6 million shares in the $8 to $10 price range.
Analysts say the high-speed Internet service provider is as good as any in the sector, which is expected to see rapid growth.
Also testing the waters is E-Stamp Corp., "ESTM," which is slated to float 9.6 million shares in the $12 to $14 price range.
The company has its share of competition. Still, the precedent set by one of its peers is a strong one: Shares of Stamps.com (STMP) have more than doubled since going public in June.
Also ahead, Jupiter Communications, "JPTR," the Internet research firm, is slated to offer 3.125 million shares in the $15 to $17 range, in a deal that could raise more than $53 million.
New York-based Jupiter specializes in Internet commerce research.
In an offering having nothing to do with technology, Neuberger & Berman, "NEU," plans to float 7.5 million shares in the relatively high $31 to $33 range.
Neuberger, with $56 billion under management, will join Federated Investors (FII), United Asset Management (UAM) and Waddell & Reed (WDR) as one of the few publicly held mutual find companies.
Whatever happens this week, last week will be remembered as a strong one for IPOs.
In the highest flyer, computer networking firm Foundry Networks Inc. (FDRY) soared more than 500 percent in its debut. 
|
|
|
|
|
|
IPO.com
|
Note: Pages will open in a new browser window
External sites are not endorsed by CNNmoney
|
|
|
|
 |
|
