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April 04, 1997 - Image 63

Resource type:
Text
Publication:
The Detroit Jewish News, 1997-04-04

Disclaimer: Computer generated plain text may have errors. Read more about this.

Mill Floor

COVERINGS

—.—.—.—.—.—.—

12 MONTH
CERTIFICATE

"At the end of 1995, there
wasn't anything [in multimedia]
/̀_-`31- the Internet," said Mr.
Daboosh, the company's chief in-
teractive designer. "We thought
to fill the vacuum and do some-
thing that was more alive."
With Emblaze in the pipelines,
the company, which was found-
ed without any money from ven-
ture-capital funds, realized that
if it wanted to penetrate the in-
ternational market, it would have
:-.) raise money through a public
offering. Since NASDAQ's
stricter pre-initial public offering
corporate review procedure
means that it takes longer before
a company actually goes public,
Geo, believing that it needed to
get money quickly in order to be
first to the market, opted for the
AIM exchange.
Geo approached the London of-
'ces of Price Waterhouse and
Panmure Gordon, which advised
and underwrote the public offer-
ing.
"With a company that has no
track record, you have to weigh
the risk against the potential re-
wards," said Will David, director
of corporate finance at Price Wa-
terhouse. "Not every company
\ comes to you with the type of
/technology Geo showed us."
And two-and-a-half months af-
ter deciding to go public, the com-
pany's shares began trading. But
while the October flotation
brought the company $160 mil-
lion, the AIM market, which was
launched last summer and does
not yet have a high volume of
trading, has proven an erratic in-
dicator of company success.
\-1 .
Since the initial public offering,
the company has focused solely
on marketing their Emblaze
products, including an authoring
tool designed especially for busi-
nesses. And, as Geo metamor-
phosized from a four-person
start-up to a 55-employee com-
pany, they have also had to learn
how to face the challenges suc-
zess brings.
Broken down into pairs, with
Mr. Daboosh and Mr. Carmel
serving as the technical and de-
sign team, and Mr. Reifman and
Mr. Shani serving as the business
and marketing team, the com-
pany's founders attribute their
success to the synergy they say
they have achieved.
In fact, they say that working
;in pairs and adhering to an or-
ganized decision-making system
— each team strategizes sepa-
rately, but all four partners must
agree on decisions, with one part-
ner in each team holding veto
power over the other — has
helped the company to stay fo-
cused even while growing expo-
nentially. The company estimates
it will employ at least 100
)people
)people by the end of the year.
Another challenge the compa-
ny is sure to face will come from
the competition. ❑

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