ASX Internets Power Ahead After Nasdaq Climb
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Australian Internet stocks powered ahead Monday morning, taking its lead from the Nasdaq's 4.19% jump to 4446.44 Friday. Investors bought franticly trying to ride the torrent of positive sentiment generated by the US' technology turnaround.
Internet stocks lead the Nasdaq Friday and it was Internet stocks making the biggest gains on the ASX Monday morning. A number of companies appear to have been holding back announcements, biding their time for Monday's fair weather.
Digital Now (DNI), surged 9.29% to $1.53 on the back of an Aus $10 million order for 50 of its high-speed scanners. The $10 million sale is equivalent of almost 20% of expected revenues for 2000 said the company.
Western Australia's Gippsland Limited (GIP) jumped 15.38% to 60 cents by midday. Gippsland's wholly owned subsidiary WiredCity has signed an alliance with MCI Worldcomm subsidiary, UUNET. UUNET will provide WiredCity with an as yet unspecified amount of bandwidth. WiredCity is hoping to offer broadband Internet to its customers using ADSL technology.
IHG (IHY) jumped 11.58% to 53 cents after announcing the progress of US subsidiary SmartAmerica. The developer of intelligent home technology traded as low as 38.5 cents last week.
Intergrated IT services provider IT & e (ITE) announced the complete acquisition of Sydney based network integrator, The Missing Link Computer Solutions. At midday IT & e was up 2.7% at $1.15.
Clinical computing company, Health Communication Network (HCN) was flat at midday despite announcing the acquisition of Mediboss, a gastroenterology software supplier. No financial details of the acquisition were disclosed.
Australian born search and directory giant, Looksmart (LOK) floundered in early trade. The company's US listed stock (LOOK) dropped 2.18% Friday despite the general recovery of Internet stocks. Looksmart announced Excite has selected BT Looksmart to provide some directory services to Excite UK and Excite Netherlands. At midday Looksmart was down 4.42% at $3.05.
Nexus Minerals (NEX) and Minerals Corp. (MSC) were suspended from trade Monday morning. Both companies have made technology investments are suspended pending announcements. Minerals Corp.'s suspension came after it surged 20.83% to 29 cents.
GPS Online (GPO) announced it paid Aus $500,000 for a 51% stake in environmental technology company Spunboa Monday. Spunboa, to be renamed Zeftec, focuses on industrial waste treatment. GPS Online was up 2.5% to 41 cents at midday.