Integrated Alarm not resting on its laurels after IPO
August 14, 2003
ALBANY, N.Y. - A little more than two weeks ago, Integrated Alarm Services Group raised more than $200 million through its initial public offering of 22 million shares, which culminated a nearly nine-month process.
Flush with that cash, the company is ready to make further advances in its monitoring business, according to Tom Few Sr., chairman and chief executive officer of Criticom, the companyÃ¢â‚¬â„¢s monitoring arm.
"A large part of the use of proceeds from the public offering is going to be dedicated to enhancing our ability to provide capital throughout the dealer industry, as well as enable us to advance further into the technology side of the business," Few said. He added that the company is looking into offering GPS technology to its customers.
Some analysts have pointed to the companyÃ¢â‚¬â„¢s debt Ã¢â‚¬â€œ including $12.3 million in losses in the first quarter of this year Ã¢â‚¬â€œ as a sign that it is struggling, but that isnÃ¢â‚¬â„¢t necessarily the case, said John Mack, chief executive officer of USBX Advisory Services.
"Every healthy company carries some amount of debt," Mack said. "And $200 million will make a lot of problems go away."
Few said the company has been pleased with the performance of the stock, which at mid-day on Aug. 14 was trading at $9.27 after opening at $9.25 on July 24.
"It does seem to be holding its own," he said. "It was a long and arduous journey, but allÃ¢â‚¬â„¢s well that ends well. I guess it says something for persistence."