Hackensack telecom withdraws second try to go public

Hackensack telecommunications reseller Wave2Wave Communications Inc. has apparently postponed its most recent plan to go public, the second time in seven months.

The provider of wired

News reports tracking initial public offerings said the provider of wired and wireless broadband Internet access services was poised to file earlier this week with a reduced public offering of $42.3 million. Instead, the company reduced its expected offering again on Wednesday to $18.8 million, including the underwriters' over-allotment option.

Wave2Wave said it had no official comment on whether it attempted to go public again, referring to "restrictions imposed on official company communications during the IPO process." It also said the information in news outlets was not provided by the company.

Wave2Wave resells 4G hybrid fiber wireless networks to multi-tenant buildings so users can use voice over Internet (VoIP), high-speed Internet access, WiFi, HDTV applications and multi-user video conferencing.

The company said that growth in wireless

The company said that growth in wireless and video services and new applications to meet those needs will fuel a demand for its wireless broadband products because "existing networks and technologies cannot fulfill this demand."

The telecommunications reseller intends to use about $10 million of the offering proceeds to pay down debt. Wave2Wave reported operating losses of $8.9 million for the first six months. As of Sept. 30, outstanding debt was $37.9 million, according to its public offering application.

David Menlow, president of Millburn-based IPO Financial Network, said telecommunications isn't a hot market because investors are looking for robust financials and broad diversification across many sectors.

While Wave2Wave has had revenue growth, it has "a debt picture that is especially worrisome," he said. "The technology they're trying to put into marketplace is nice to see, but the company has to be stronger in the eyes of investors," said Menlow. "The stock's been around for nine months. The constant postponements don't help."

Hackensack telecommunications reseller Wave2Wave Communications Inc. has apparently postponed its most recent plan to go public, the second time in seven months.

The provider of wired

News reports tracking initial public offerings said the provider of wired and wireless broadband Internet access services was poised to file earlier this week with a reduced public offering of $42.3 million. Instead, the company reduced its expected offering again on Wednesday to $18.8 million, including the underwriters' over-allotment option.

Wave2Wave said it had no official comment on whether it attempted to go public again, referring to "restrictions imposed on official company communications during the IPO process." It also said the information in news outlets was not provided by the company.

Wave2Wave resells 4G hybrid fiber wireless networks to multi-tenant buildings so users can use voice over Internet (VoIP), high-speed Internet access, WiFi, HDTV applications and multi-user video conferencing.

The company said that growth in wireless

The company said that growth in wireless and video services and new applications to meet those needs will fuel a demand for its wireless broadband products because "existing networks and technologies cannot fulfill this demand."

The telecommunications reseller intends to use about $10 million of the offering proceeds to pay down debt. Wave2Wave reported operating losses of $8.9 million for the first six months. As of Sept. 30, outstanding debt was $37.9 million, according to its public offering application.

David Menlow, president of Millburn-based IPO Financial Network, said telecommunications isn't a hot market because investors are looking for robust financials and broad diversification across many sectors.

While Wave2Wave has had revenue growth, it has "a debt picture that is especially worrisome," he said. "The technology they're trying to put into marketplace is nice to see, but the company has to be stronger in the eyes of investors," said Menlow. "The stock's been around for nine months. The constant postponements don't help."