Should Netscape go public to satisfy its capital needs? Netscape does need to go public to satisfy its capital needs over the next three to five years. Netscape is in a position to capitalize on the consolidation of the technology sector. Further‚ they need to remain competitive against Micorsoft’s Internet Explorer. By taking the company public‚ Netscape will also be able to raise capital to expand its business‚ finance acquisitions‚ pay debt and have greater access to capital in the future
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software program that gave rise to the notion of "surfing" (Netscape ’s). Netscape Communications can trace its roots to a group of science students working at the University of Illinois at Urbana-Champaign who turned a simply software program called ’Mosaic ’‚ into a platform that enabled non-technical computer users to access and retrieve information that was becoming more and more available on the worldwide web. Founded in 1994‚ Netscape Communications Corporation provides a comprehensive line of
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in an initial public offering then the stock is called a hot issue. Netscape Communications (NSCP) was the classic hot issue. It went public August 9‚ 1995 at an offer price of $28. On the same day it hit a high of $74¾ and closed at $58¼. Netscape hit an all time high of $174 in December 1995 and split 2:1 February 7‚ 1996. In the long term‚ however‚ Netscape wasn’t that hot an issue. A year after the initial public offer Netscape Communications was trading below $30 a share. (Adjusted for the split
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------------------------------------------------- Top of Form Netscape IPO Introduction The case analyzes the Initial Public Offering (IPO) of Netscape Communications Inc.‚ in order to recommend a justifiable share price for the IPO. Founded in April 1994‚ Netscape Communications Corporation provided a comprehensive line of client‚ server and integrated applications software for communications and commerce on the Internet and private Internet Protocol networks. The primary revenue generator for Netscape at the time IPO was it ’s
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2. Netscape Valuation. In the process of raising capital by issuing stock to the public a crucial moment is to determine the company’s share price that best reflects the real value of the company. In our analysis in order to estimate the fair value of Netscape’s share price we have applied the Weighted Average Cost of Capital Method of Valuation. The WACC method implies that the firm’s weighted average cost of capital represents the average return that the company must pay to its investors‚ both
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3 – 5 YEARS PHYSICAL DEVELOPMENT Buttons/unbuttons own clothing‚ cut out simple shapes‚ draw a person with head‚ trunk and legs‚ walk on a line‚ aim and throw ball‚ hop on one foot‚ form letters; write own name‚ colour in pictures‚ completes 20-piece jigsaw‚ skip with a rope‚ run quickly and able to avoid obstacles‚ throw large ball to a partner and catch it. Run‚ jump‚ begin to climb ladders; can start to ride tricycles; try anything; is very active. INTELLECTUAL DEVELOPMENT Understand
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Corporate Finance: Case Netscape 1. Why has Netscape been so successful to date? What is its strategy? How risky is its current competitive situation? Netscape follows a “give away today make money tomorrow”-strategy. Netscape currently has 75% of web browser market‚ making it by far the most popular browsing software. Netscape is making money by selling server software to companies that require marketing access to potential consumers‚ by selling its software packages and through providing
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Over the last several years‚ state and local governments have been firing shots across the bow of the Interactive Video Game Industry‚ seeking to constrain increasingly graphic and violent content found in current interactive games. The federal government has now jumped into the fray‚ with proposed legislation seeking to punish the marketing of violent media to children. With the cyber-world of Internet role-playing games about to explode‚ increasing pressure will be brought to bear by morality groups
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This case is about Netscape Initial Public Offering (IPO) in 1995. Netscape had a successful starting in the market mainly because of their strategy of “Give away today and make money tomorrow”‚ which let them capture 75% of the web browser market‚ making it the most popular browsing software. The successful strategy consists in gaining its large market share by initially giving away its product for free. Netscape had to create a new industry standard to succeed in the long term‚ besides make revenues
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My 1st grade teacher would have asked me “where do you see you self in the future?” my response would have been “a professional basketball player or an astronaut. I’m now 18 years old‚ and my writing teacher asked me that same question. This time my response will be realistic and more attainable. I have a strong family and personal relationship. I didn’t come to college single‚ I do have a boyfriend back home who’s enlisted in the navy. Also‚ I have my big wonderful family waiting for me back
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