IPOs/Recent Issues – SNOWBALL.COM –

San Francisco

Went public 3/21/2000 at $11 apiece

Filing Range:6.25 mil. shares @ $10 to $12

Shares Outstanding:37.25 mil. shares

Underwriters:Goldman Sachs

Chase H&Q/Robertston Stephens


(Data in $ millions)


12/98 12/99

Total Revenue $3.26 $6.67

Net Loss -3.66 -34.82

The Company:

Snowball.com operates a network of destination Web sites that offer content, community and commerce to the Internet generation, or Generation i, defined as people between the ages of 13 and 30, who consider the Internet to be an integral part of their daily lives. According to the U.S. Census Bureau, Generation i consisted of 67.7 million individuals in 1998, and those individuals between the ages of 15 and 24 had $302.4 billion in disposable income in the same year. In addition to creating original content, Snowball expands its offerings by selectively adding affiliated Web sites to its network. To attract and retain affiliates, the company provides an integrated package of sales and marketing services, technical support and audience development opportunities. As of December 31, 1999, Snowball was affiliated with more than 150 Web sites and over 100 partner college destinations organized under four networks, each targeting a specific segment of Generation i: ChickClick, which provides content, community and commerce features to Generation i women; IGN, which provides information and entertainment to Generation i men; InsideGuide, which offers student-generated information concerning individual colleges; and PowerStudents, which provides students at all levels with information concerning college admissions, jobs and careers. According to Media Metrix, Snowball’s networks attracted over 4.5 million unique visitors in December 1999, making it one of the 40 highest-trafficked properties on the Internet. As of December 31, 1999, the company had nearly three million registered users.


Estimate net proceeds of $72 million will be used for brand promotion; sales and marketing, to repay debt and for general corporate purposes.

Venture Backers:

Worldview Technology Partners, Weiss, Peck & Greer Venture Partners LP, Walden Media LLC, Imagine Media Inc.

Board Members:

Mark Jung

James Tolonen

Christopher Anderson

Richard LeFurgy

Michael Orsak

Robert Reid