Software Technologies Among Week's IPOs
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Can you remember what you were doing when you were 11 years old? (Maybe not!) Playing in the playground, riding bikes, looking for ways to get in trouble?
James Demetriades -- Chairman, CEO, and Founder of Software Technologies Corp. -- was at CalTech in the Computer Science Department. He was so fascinated by programming he would climb rain gutters to get to the computer room after it had closed.
His company plans to go public this week. The price range for Software Technologies Corp. is $16-18, the lead underwriter is Credit Suisse First Boston and the proposed ticker symbol is STCS.
Back in 1985, Demetriades helped to building software systems for major HMOs. But in 1989, he found that his creative thinking was being stifled by company policy and decided to go out on his own. In 1991 Demetriades, with only two customers, had built revenues of $80,000 for STC.
According to STC, about 2 percent of gross national product (GNP) can be attributed to the business inefficiencies caused by avoidable information delays, such as redundant information entry, data conversion and other incompatibilities.
So far, STC has been taking advantage of this huge market. Total revenues have grown from $26.7 million in 1997 to $55.2 million in 1999.
While the IPO market has been hit hard, there appears to be some life, though especially with the recent bounce in NASDAQ. STC has strong momentum and great backers. By all appearances, it looks like it will have a fair chance at a good IPO this week.