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Buy.com, 4th Largest E-Commerce Site, Issues Shares

Health Gate Data is an IPO that has been on the calendar for what seems to be an eternity (the company filed its IPO in April 1999). This is typically the proverbial "kiss of death." If Health Gate were a hot deal, it would currently have an active ticker symbol.

Health Gate Data is a content hub for healthcare, catering to physicians, patients and consumers. Actually, the site has 27 million different pages of content from more than 190 sources. The sources include such well-regarded journals as the New England Journal of Medicine, Medline, and the Drug Information Handbook.

With such rich content, Health Gate has developed a sophisticated searching technology. It is called ReADER, which uses natural language searching.

True, healthcare is a big business (in excess of $1 trillion per year). However, there is a glut of health content sites. What s more, Healtheon/WebMD appears to have a decided lead in the space.

Health Gate Data plans to issue 3.7 million shares between the price range of $9-$11. The lead underwriter is SG Cowen and the proposed ticker symbol is HGAT.

Buy.com should create some stir. As the name implies, the company is a superstore e-commerce portal books, videos, DVDs, computer games, music, golf equipment, consumer electronics (over 850,000 items). What s more, the company abides by a low-price strategy. According to Media Metrix, Buy.com is the fourth largest e-commerce site.

Unfortunately, the etailing sector has been sickly even for blue-chip companies like Amazon.com (AMZN). While Buy.com should have a strong first-day, it may come under pressure as investors flip the stock.

The company plans to issue 14 million shares between the price range of $10-$12. The lead underwriter is Merrill Lynch and the proposed ticker symbol is BUYX.

Intellesale.com wants to be a public company. Actually, the company is a roll-up of 14 acquisitions (starting in 1995). The parent company is Applied Digital Solutions (ADSX), which is a full service telecommunications company.

Like Buy.com, Intellesale.com is in a highly competitive space: selling refurbished and new computer equipment and related products. Again, expect this to have difficulties over time.

The lead underwriter is Ladenburg Thalmann and the proposed ticker symbol is SALE.