Went public 3/10/2000 at $12 apiece
Filing Range:22 mil. shares @ $10 to $12
Shares Outstanding:124.81 mil. shares
Underwriters:Morgan Stanley Dean Witter
Donaldson Lufkin & Jenrette (Co-lead)/Chase H&Q/Banc Of America Securities/J.C. Bradford
(Data in $ millions)
Total Revenue $1.09 $21.65
Net Loss -7.91 -83.99
HomeGrocer.com is an online retailer of grocery and other consumer products. Founded in 1997, the company provides next-day home delivery of products at prices comparable to local supermarkets. Current product selection includes fresh fruit, vegetables, dairy products, baked goods, meat, fish and a wide assortment of non-perishable items and household products. Health and beauty products, wine and beer, fresh flowers, pet products, home office supplies, postage stamps, seasonal items and top-selling books, video games and movies are also offered through the company’s site. Since Jan. 1, 1999, HomeGrocer.com has made deliveries to more than 55,000 different households. Markets currently served by the company’s operations include Seattle, Portland and Orange County/Los Angeles. Management expects to begin service in eight to ten additional markets in the next twelve months. To equip each distribution center, it is expected to cost between $4 million and $7 million. The company intends to spend between $5 million to $8 million on marketing expenditures to support the launch of services into new markets. The company is also committed to purchase additional delivery vehicles in fiscal 2000 totaling about $35.6 million.
Estimated net proceeds of $223.7 million will be used to fund expansion into eight to ten new markets, to increase working capital, fund operating losses and pay a portion of its obligations to America Online.
Amazon.com Inc., Kleiner Perkins Caufield & Byers, Hummer Winbald Venture Partners, The Barksdale Group LLC, Madrona Investment Group LLC, Lazarus Family Investments LLC, Terran Ventures Inc., Investment King
Mary Alice Taylor
J. Terrence Drayton