InformationWeek

Engage The Rage

DoubleClick and NetGravity have another publicly traded competitor in the Internet advertising field. Internet marketing firm Engage Technologies Inc. sold six million shares at $15 each on Tuesday, its first day of trading.

Engage's stock soared to $41 that first day, giving it a total market value of $1.92 billion, even though the company's revenue totaled a scant $9 million in the nine months ended April 30. Engage has lost $47.6 million since its inception in 1995, including losses of $13.8 million in 1998 alone, and expects to incur significant losses "for the foreseeable future."

Engage, which is about 80% owned by Internet investment fund CMGI, has a database of more than 30 million anonymous consumer profiles, and offers an online ad-management system that automates the scheduling, targeting, and delivery of ads on Web sites. In its filings with the Securities and Exchange Commission, Engage says its management has no specific plans for what it will do with the $90 million it raised.