[9 May 2000]
From DOT.com to IPO: Wharton-SMU Conference on the Valuation, Financing and Listing of Internet/Technology Companies

The burning investment question in the wake of the sudden downgrading of previously "hot" internet companies must be : How are such companies valued? The crash of the Nasdaq, heavily weighted with internet/technology stocks, has resulted in a re-evaluation of web-based firms and enterprises. Young dot.com companies which once listed with enormous premiums despite low or non-existent revenues, are now confronted with newly cautious investors demanding more stringent accountability.

In this cautious climate, how do angel funds and venture capitalists now perceive internet/technology companies as viable investments?

The dynamics of these and related issues will be examined at a one-day seminar on 9 May 2000 organised by the Wharton School and the Singapore Management University (SMU). The conference is organised in conjunction with the National Science and Technology Board (NSTB), Singapore Institute of Directors (SID), Singapore National Employers Federation (SNEF) and Singapore Confederation of Industries (SCI).

The Guest-of-Honour for the Conference is Mr Lim Swee Say, Minister of State for Communications & IT and Trade & Industry.

The conference will comprise seminar discussions led by three panels:

Panel One will introduce participants to the valuation issues around internet/technology companies. How should internet companies be priced? How much are they really worth? Traditional approaches require earnings and P/E ratios which are not applicable to such companies, so what valuation methods and tools apply?

Panel Two will focus on sources of financing for internet companies. From angel funds and incubators, to venture capitalists, fund managers and capital markets - what are the steps from start-up to progressive stages of the financing cycle? Panelists will share their own successful and unsuccessful financing in some of these companies.

Panel Three will discuss the strategic issues of bringing a start-up to IPO. Financing is only the beginning. Prof Raffi Amit of the Wharton School will provide the blueprint for internet entrepreneurs in their first venture. Some key points for consideration: Are the company's revenues derived from real products offered, services rendered, or from advertising? Which internet companies are more likely to be successful? Those targeted at niche markets or mass markets? This discussion will be followed by executives from specific technology companies such as MediaRing.com and Venture Manufacturing (S) Pte Ltd, sharing their individual evolutionary experiences from identifying a product line, to the venture capital stage, to an IPO.

The panelists forming the three seminar discussions include key players from the internet and technology industry, such as Mr Koh Boon Hwee, Executive Chairman, Wuthelam Holdings Pte Ltd; Mr Sean Debow, Head of Asian Valuation Research, Global Valuation Group, Warburg Dillion Read, Hong Kong; Mr Hiroshi Matsuda, Executive Vice-President/Chief Investment Officer, Hikari Tsushin Capital, Inc; Dr Thomas Ng, Managing Director, Venture TDF Pte Ltd; and Mr Chua Kee Lock, President, MediaRing.com Ltd, to name a few.