| IPO Company Profile |
| Current Quote | News | SEC Filings | Peer IPO Companies |
| NorthEast Optic Network, Inc. |
| 392 Totten Pond Road, Suite 401, Waltham, MA 02154 * (781) 890-6868 |
| The Company is a facilities-based provider of technologically advanced, high-bandwidth, fiber optic transmission capacity for communications carriers on local loop, inter-city and interstate facilities. |
| Manager | Tier | Phone |
| CS First Boston | Lead Manager | (212) 325-2000 |
| SBC Warburg Dillon Read, Inc. | Co-manager |
| NASNTL: | NOPT | Service: | SIC 4813 | |
| Type of Shares: | Common Shares | Filing Date: | 5/22/98 | |
| U.S. Shares: | 4,500,000 | Offer Date: | 7/30/98 | |
| Non-U.S. Shares: | 0 | Filing Range: | $12.00 - $14.00 | |
| Primary Shares: | 4,500,000 | Offer Price: | $12.00 | |
| Secondary Shares: | 0 | Gross Spread: | $0.84 | |
| Offering Amount: | $58,500,000 | Selling: | $0.51 | |
| Expenses: | - | Reallowance: | $0.10 | |
| Post-IPO Shares: | 16,100,000 | |||
| Employees: | 11 |
| Issuer's Law Firm: | Hale and Dorr |
| Bank's Law Firm: | Cravath, Swaine & Moore |
| Registrar/Transfer Agent: | BankBoston |
| Auditor: | Arthur Andersen |
Dollar amounts in U.S. millions except for per share data | |||||
| 3 Month Ending Financials | |||||
| Full Year Audited Income | Latest Unaudited Income | Prior Audited Income | Balance Sheet | ||
| 12/31/97 | 3/31/98 | 3/31/97 | 3/31/98 | ||
| Revenue: | $0.39 | $0.15 | $0.00 | Assets: | $26.18 |
| Net Income: | -$0.96 | -$0.29 | -$0.12 | Curr Assets: | $2.01 |
| EPS: | -$8.43 | -$2.57 | -$1.04 | Liabilities: | $16.63 |
| Prior EPS: | -$6.22 | Curr Liab: | $5.96 | ||
| Cash Flow/Oper: | -$0.55 | $0.66 | -$1.03 | Equity: | $9.55 |
| Cash Flow/Fin: | $4.87 | $1.43 | $3.43 | Cash: | $1.23 |
| Cash Flow/Inv: | -$8.08 | -$1.95 | -$3.80 | Working Cap: | -$3.95 |
| Competition |
| The telecommunications industry is highly competitive. The Company faces substantial competition from ILECs, which currently dominate their local telecommunications markets, and CLECs, most of which have greater financial and other resources than the Company. In addition to ILECs and CLECs, potential competitors capable of offering services similar to those offered by the Company include IXCs, other facilities-based communications service providers, cable television companies, electric utilities, microwave carriers, satellite carriers, wireless telephone system operators and large end-users with private networks. There can be no assurance that such entities will not compete with the Company or that such competition would not have a material adverse effect on the Company's business, financial condition and results of operations. |
| Business Plan |
| The Company's objective is to become the preferred facilities-based provider of fiber optic network capacity in the Northeast. The following are the key elements of the Company's strategy to achieve this objective: (I) Leverage Electric Utility ROWs, (ii) Target Carrier Customers, (iii) Reduce Construction and Operating Costs, (iv) Build a Reliable, Technologically Advanced Network, (v) Focus on High Demand Northeast Market, (vi) Leverage Management Experience and (vii) Leverage Utility Relationships. |
| Use of Proceeds |
| The proceeds from the proposed offering will be used for capital expenditures, repayment of indebtedness, working capital and general corporate purposes. |