Janet Richards fixes her eyes on those of her partner Gilbert Baker and says firmly, “Alright. Let’s do it.” And with those words, InterCat, a firm that specialises in the design and maintenance of Internet catalogues for small consumer businesses founded by Janet and Gilbert immediately after completing their MBA, will be going public.
InterCat now employs 50 individuals, with the majority of them computer programmers and analysts.
Many of the employees have followed the high-technology market very closely and have decided that since high-tech firms are more understood and valued in the United States than in other countries,
InterCat should issue its stock only in the United States. The new issue will comprise five…show more content… Janet and Gilbert are not so sure about other activities such as evaluating the underwriters and selecting a syndicate, and decide to include some uncertainty to be on the safe side. Some activities may actually take quite a while longer than expected. For instance, while negotiating the spread, Janet and Gilbert cannot seem too eager, as this will affect their bargaining power. They may have to ‘sweat it out’ a bit, and therefore decide to include some extra time in their pessimistic estimate. The SEC is