Wit Capital Group Inc. –

NEW YORK – Wit Capital Group Inc., an online investment banking and brokerage firm, held an initial public offering June 4. The company offered 7.6 million shares at $9 apiece, the high end of its $7 to $9 filing range.

Bear, Stearns & Co. Inc., Wit Capital Corp. and Thomas Weisel Partners L.L.C. underwrote the initial public offering, which left 70.65 million shares outstanding.

There were no selling shareholders. Capital Z Financial Services Fund II, Draper Fisher Jurvetson, The Goldman Sachs Group Inc., Highland Capital Partners, MC Capital, Media One Interactive Services and Comcast Interactive Capital are venture backers.

Wit Capital uses e-mail and the Internet to sell stock to individuals in public offerings. The company also produces and electronically distributes investment research to individual investors and advises corporate clients on transactions such as mergers and acquisitions, the development of Internet-based businesses and securing private rounds of financing.

The company has never been profitable, losing $8.8 million in 1998 and $3.0 million in 1997.

The approximately $62.1 million in proceeds generated by the offering will be used for general corporate purposes.

Steven Gluckstern and Adam Mizel, founding partners of Capital Z Partners, and John Fisher, a managing director of Draper Fisher Jurvetson, are members of the company’s board of directors.

Wit Capital Group – Selected Financial

(in thousands, except per share data)

March 27, 1996

(inception) Year Ended December 31, Three Months Ended March 31,

to December 31, 1996 1997 1998 1998* 1999

Revenue 41 246 2,038 76 3,903

Net loss -1,774 -2,993 -8,794 -1,398 -4,900

Net loss per share -0.33 -0.41 -1.23 -0.20 -0.67