Lexent: Phoning for Investors
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A lot of IPOs seem to have a management team that has recently joined their company. As for Lexent Inc. their management comes equipped with years of experience in the telecommunications industry.
Alf Hansen, President, CEO and Director, may have only joined Lexent in February 2000, but he has over 30 years experience in the telecommunications industry. Twenty-two of those years were working for AT&T. Kevin O'Kane, COO and a Director, was hired at their inception and has over ten years experience in the telecommunications industry. Last, but not least, Jonathan Stern, EVP and CFO, has over 15 years experience in the telecommunications industry.
The price range is $12-14, the lead underwriter is Credit Suisse First Boston and the proposed ticker symbol is LXNT.
Lexent provides local telecommunications network services for competitive local exchange carriers (CLECs), Internet service providers and carriers' carriers. Basically, Lexent is able to design, deploy and upgrade local telecommunications networks more quickly and efficiently than customers could themselves. They also provide ongoing maintenance services for their customers on a 24-hour a day, seven day a week basis.
The competition has not slowed down revenues. Revenues have gone from $53.7 million in 1997 to $150.9 million in 1999. Also, Lexent has shown a profit of $2.2 million in 1997 to $9.3 million in 1999.
Lexent has been around since the late 1980s and they show no signs of fading out. According to International Data Corporation, the market for broadband fixed wireless access services in the United States alone is expected to generate $7.4 billion in revenue by 2003. Expect Lexent to be earning their share.