Loislaw.com Inc. –

VAN BUREN, Ark. – Loislaw.com Inc., an on-line provider of legal information, went public September 30, offering 3.98 million shares at $14 apiece. The company’s stock priced well above its $10 to $12 filing range.

Underwritten by Prudential Securities, U.S. Bancorp Piper Jaffray and Dain Rauscher Wessels, the initial public offering left 20.9 million shares of stock outstanding.

Venture backers included Capital Resource Partners and Sandler Capital Management. There was one selling shareholder who sold 80,000 shares of stock.

Loislaw.com is an on-line library of legal information including federal and state law, continuing legal education information and other related material. The information is available through the company’s subscription-based Web site and on CD-ROM.

The company plans to use the expected $49.9 million generated from the IPO to repay debt, develop a consumer Web site and legal databases, expand marketing and sales activities and for general corporate purposes, including working capital. Loislaw.com may use a portion of the proceeds to acquire or invest in complementary businesses or products, or to obtain the right to use complementary technologies.

Loislaw.com has never generated a profit, losing $2.6 million in 1997 and $6.6 million in 1998.

Robert Ammerman, treasurer at Capital Resource, joined the company’s board of directors in November 1997. Hannah Stone, a general partner at various partnerships associated with Sandler Capital, followed in June.

Loislaw.com – Selected Financial

(in thousands, except per share data)

Year Ended December 31 Six Months Ended June 30

1996 1997 1998 1998* 1999*

Total revenue 1,883 3,365 5,024 2,141 2,792

Net loss -3,552 -2,643 -6,625 -2,958 -7,577

Net loss per share -0.5 -0.37 -0.99 -0.44 -0.95

*Unaudited