Eden Prairie, MN

Went public 2/11/2000 at $15 apiece

Filing Range: 5 mil. shares @ $14 to $16

Shares Outstanding: 11.77 mil. shares

Underwriters: Prudential Volpe Technology

Robertson Stephens/Raymond James


(Data except per-share in $ thousands)


12/97 12/98 9/98 9/99

Total Revenue $55,140 $47,647 $36,202 $41,147

Net Loss 14,206 -4,202 -4,466 -65,139

Net Loss Per Share .66 -.98 -.86 -37.79

The Company:

Fargo Electronics manufactures desktop systems and associated consumable supplies for the plastic card personalization and data encoding industry. Applications for the company’s technology include: corporate security and access; student identification and access; driver’s license, government and military identification; transportation; recreation and gaming; retail loyalty and discount cards; and membership cards and passes. In the past five years, Fargo has sold more than 38,000 card personalization systems. The company distributes its products through a global network of distributors and resellers in 97 countries. In 1994, Fargo introduced a digital desktop card personalization system with a retail price of $3,995, becoming the first company to bring such a system to market that cost less than $10,000. The company was also the first to introduce dual sided card printing capabilities and the first to introduce a system that prints, encodes and laminates a separate, more durable material onto the card all in a single system. With the introduction of a high definition printing system in 1999, Fargo was first to market with a high definition printing system that cost less than $15,000. High definition printing allows printing onto materials such as proximity cards and smart cards that have not been easily printable before the HDP system.


Repay promissory note held by Robert P. Cummins, a principal stockholder ($10 mil.); redeem 30,000 shares of redeemable preferred stock and dividends ($34.06 mil.); repay senior credit facility with a syndicate of banks led by BankBoston ($24.89 mil.).

Venture Backers:

TA Associates Inc., St. Paul Venture Capital Inc.

Board Members:

Michael Child, TA Associates Inc. November 1999

Everett Cox, St. Paul Venture Capital February 1998