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Divine takes the low road
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July 11, 2000: 9:48 p.m. ET
Web incubator divine interVentures prices at bottom, raises $129 million
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NEW YORK (CNNfn) - Internet e-commerce and B2B incubator divine interVentures inc. finally got off the block for its initial public offering after some price cut false starts.
Divine - a closely watched company not the least for its name -- raised $128.57 million by pricing 14.285 million shares at $9. The company, led by Robertson Stephens, priced at the bottom of its range.
The Lisle, Ill.-based incubator has had difficulties in finding the right market to price in since it first set terms on Feb. 15. Divine originally had hoped to raise about $350 million, pricing 50 million shares between $6 and $8.
According to Sarah Chang of 123Jump.com, the offer is still large for a young company with revenue just over $1 million for 1999. Divine lost more than $9.4 million last year.
"This deal would have done really well a year ago at the height of the Internet IPO market," Chang said.
But the days of Web fever in the new issues market are gone and the IPO market this week looks tough, with the most-anticipated deal, semiconductor company Axcelis (ACLS: Research, Estimates), rising less than 10 percent in its debut Tuesday.
Divine interVentures will trade on the Nasdaq Wednesday as "DVIN." 
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