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Domino's IPO falls in its trading debut







Domino's IPO falls in its trading debut

Domino's IPO falls in its trading debut 07/14/2004 01:19 AM

Seattletimes.nwsource.com - Tue Jul 13, 03:12 pm GMT




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Domino's IPO falls in its trading debut

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Like a phoenix from the ashes, Napster has come back not once, but twice it seems. Since Roxio bought the Napster name and logo a couple years ago at a bankruptcy auction, Napster received a new "lease on life". This time around Napster isn't just a service, it's to become a public company and will be traded on the stock exchange.

Roxio has recently sold off it's CD-burning software business in a move to concentrate solely on selling music online. Using Napster as it's company name, it will allow Roxio to compete with other online music delivery services from the likes of Microsoft, Yahoo!, and Apple.

Roxio's sale of its software business landed them a cool $80 million in cash and stocks which will give Napster a cash base of more than $100 million once the deal closes, expected by year's end.

"One of the most important questions for our investors is, 'Does Napster have the staying power to stay and thrive?' Having the cash answers that question," said Chris Gorog, chief executive and chairman of Roxio.

It will be more than enough to cover Napster until it becomes profitable, Gorog said, "and we're on a clear path to do that."

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BusinessWeek Online - Hungry for an IPO? With Google in the wings and first-day pops such as those lately at software makers Blackboard (NasdaqNM:BBBB - News) (up 43%) and Salesforce.com (NYSE:CRM - News; 56%), it's only natural to feel greed's pang. Now, Wall Street wants you to save an appetite for the initial public offering coming soon from a familiar name: Domino's Pizza.

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It pretty much only talks about real-world goods, not software or web-related stuff, nor even high-tech stuff, and I don't yet know how exactly the lessons apply to the areas I usually think about. But they probably do. (Is Apple a trading-up brand? Or is it not mainstream enough? Maybe") I'm only about a third of the way through it, but good stuff so far.

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