PC will do IPO in $100MM raise; new CEO.

June 10, 1999

The May Report

by Ron May

312-670-6336 Phone

PC announces plans to go public.

I am getting pretty good at this business of finding things out and getting
the news to you almost instantly. The press release is less than an hour old.
Actually I thought that this S-1 had already been filed. It has certainly
been expected.

I got confirmation after the close of the market yesterday fron one reader
whose name I have withheld so he doesn’t get in trouble. I include his
e-mail. On Monday, I found out who is going to be the CEO of this new firm.
You will have to page down for it.

Then, I looked for the S-1 last night and could not find it.

Date: 6/9/1999 5:33:27 PM Central Daylight Time
From: Name withheld
To: (‘May, Ron’) just filed an S-1 for their IPO. The press release is going out
in the morning. Technically, it is now public knowledge.
I did find this information last night. It is buried in a daily IPO report
from CBS’ MarketWatch, a firm that considers itself to be a competitor to

Pantry, Skechers fail to create sparks
Also, interactive TV player Wink to try again for offering

By Darren Chervitz, CBS MarketWatch
Last Update: 6:46 PM ET Jun 9, 1999

Also filing for an IPO:, a financial Web site publisher which
hopes to sell 7.75 million shares at $12 to $14 each in a deal headed by
Prudential Securities. is a subsidiary of financial data software
developer PC Quote (PQT: news, msgs), which is changing its name to Hyperfeed
Technologies. hopes to trade on Nasdaq under the ticker “PCQT”., the publisher of this Web site, competes with
Here is today’s press release, less than one hour old.

Thursday June 10, 8:47 am Eastern Time

Company Press Release


PCQuote.Com, Inc. Announces Initial Public Offering of its Common Stock

CHICAGO, June 10 /PRNewswire/ —, Inc., a subsidiary of PC Quote,
Inc. (Amex: PQT – news), announced today that it has filed a registration
statement with the Securities and Exchange Commission relating to a proposed
initial public offering of 7,750,000 shares of its common stock. The common
stock offered will consist of 5,800,000 shares to be issued by,
Inc. and 1,950,000 shares to be sold by PC Quote, Inc. which intends to
change its name to HyperFeed Technologies, Inc., subject to shareholder
approval. It is anticipated that the public offering price for the common
stock will be between $12.00 and $14.00 per share. Prudential Securities is
acting as lead-manager and U.S. Bancorp Piper Jaffray, FAC/Equities and
E*OFFERING Corp. are acting as co-managers., Inc. is an Internet-based provider of high performance,
real-time financial data, timely business news and comprehensive research and
analytical tools. The company’s services provide access to sophisticated and
dynamic financial information that allows users to make informed investment

A registration statement relating to these securities has been filed with the
Securities and Exchange Commission but has not yet become effective. These
securities may not be sold nor may offers to buy be accepted prior to the
time the registration statement becomes effective. This press release shall
not constitute an offer to sell or the solicitation of an offer to buy, nor
shall there be any sale of these securities in any state in which such offer,
solicitation or sale would be unlawful prior to registration or qualification
under the securities laws of any such state. An offering of common stock, if
made, will only be made by means of a prospectus.

Copies of the preliminary prospectus may be obtained when it becomes
available from Prudential Securities, 111 8th Avenue, New York, NY 10011,
U.S. Bancorp Piper Jaffray, 222 South Ninth Street, Minneapolis, MN 55402,
FAC/Equities, 30 South Pearl Street, Albany, NY 12207 or E*OFFERING Corp.,
120 Montgomery Street, Suite 1850, San Francisco, CA 94104.

Perhaps the S-1 will be on today. Anyway, I don’t know if
listeners of the radio show yesterday heard this since the show may have had
technical difficulties and the first ten to fifteen minutes may have been cut
off, but I did announce this on the show. The May Report gets another scoop.

The CEO of the newly formed PC is none other than Tim Krauskopf.
Tim, as you may recall, was one of the founding officers of Spyglass and was
CTO there for several years. About two years ago he left (he’s still on the
board by the way) to get an MBA at Northwestern University and he is the head
of technology at the Museum of Science and Industry.

You heard it here first.
More on

I got this note from CEO Dave Tolmie yesterday, inviting me to visit. I will
do that.

Date: 6/9/1999 8:00:05 PM Central Daylight Time
From: (Dave Tolmie)
To: (‘’)
CC: (Tony Priore)


You and I previously met at the Midwest Entrepreneur’s Meeting where I
participated on a panel which reviewed the business plan for InterAccess.

I read your recent write-up on, which I joined on January 1
after spending 2 months in due diligence on behalf of Platinum Venture
Partners. The position is an excellent fit for me, having nearly 20 years
of experience in marketing, sales, and operations.

I’d be pleased to have you come visit our company to get an overview of what
we do and how much has happened since January. We are quite proud of the
progress we’ve made and hope to be a positive asset for the Chicago area
Internet community. Unfortunately, we’ve all been overwhelmed with the task
at hand and have spent less time than we’d like networking with local
industry leaders. Certainly, our management team hopes to do more of this
in the future.

Please call me if you’d like to get an understanding of the company. Most
people we talk to seem to come away with a positive impression.

With regards,

Dave Tolmie
David M. Tolmie, CEO
847-918-6316, fax 847-918-9296
565 Lakeview Parkway
Vernon Hills, IL 60061
I also got this very cryptic note from someone at Platinum Venture Partners

Subj: Re: The May Report News Flash: 6/8/99: YesMail files
Date: 6/9/1999 5:35:14 PM Central Daylight Time
From: (Platinum Venture Partners)

That $9M figure is incorrect.
There is no name on the note, no mumber, no clarification. That must mean
that the Chicago Tribune also has the number wrong. It must also mean that my
reading of the S-1 is wrong. Note the section on the sale of securiteis in
the S-1. Gentlemen, I cannot imagine Ellen Carnahan sending a note like this.
Or JB Pritzker, or Mark Achler or any nuimber of other venture capitalists
with whom I have established relationships. You say that you want to help
build Chicago as a high tech center and that you want me work with you. A
little COMMUNICATION would help!

I am not implying that you are being condescending or arrogant. I am saying
it outright. I would appreciate a response, thank you. I spend hours at night
while many people sleep pouring over complex documents so that my readers,
who are just about everyone in the high tech community in Chicago, can be
properly informed on a timely basis. The least you can do is write a full
paragraph of explanation. This is public information now, you know.

I got this note from Bob Geras. I know that Scott Glickson also went with
Bob, but I don’t know the other members of the team.

Subj: Re: The May Report: 6/7/99: FastParts gets new CEO and other
eventsthis week.
Date: 6/9/1999 12:38:19 PM Central Daylight Time
From: Rgeras

Did you know about the trip to Israel last month organized by Ralph
Gidwitz consisting of around 15 VC’s from around the country including 5 of
us from Chicago? We were all the guests of the State of Israel and were
escorted to several Hi-Tech “Incubator” sites in Tel Aviv, Haifa, and
Jerusalem and saw around sixty twenty minute presentations from early stage
companies looking for cash, joint venture arrangements, etc.! We dined and
talked with digitaries every night, including Israeli Cabinet ministers, the
U.S. Ambassador, etc. We also met with Ehud Olmert, the Mayor of Jeruslem who
gave us his candid assessment of the Political situation there, etc. It was
a trip to remember. Fantastic!! If you want details, call me or Ralph Gidwitz.
Bob Geras

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