One of Thursday’s IPO disappointments was ScreamingMedia Inc. (Nasdaq: SCRM), which lost 1 1/2 to close at 10 1/2 Thursday.
The New York-based ScreamingMedia sold 5 million shares at $12 each through underwriters led by Credit Suisse First Boston. The company aggregates and distributes digital content to more than 1,000 Web site and wireless customers, including MSN MoneyCentral, About.com and OracleMobile.
Screaming Media reported a loss of $13.17 million on 1999 revenue of $2.99 million. The company says its technology offers Web sites a cost-effective way of providing information to their users, though it acknowledges that the market is crowded.
“We expect competition to increase significantly in the future as current competitors improve their offerings and as new participants enter the market,” the company said in its prospectus.