VerticalNet
{{Infobox company
| name = Verticalnet, Inc.
| logo = VerticalNet Logo.jpg
| foundation = {{start date and age|1995}}
| founder = Michael McNulty
Michael Hagan
| fate = Acquired by Bravo Solutions (2008)
| location = Horsham, Pennsylvania
| revenue = {{decrease}} $16 million (2006)
| net_income = {{decrease}} -$24 million (2006)
| assets = {{decrease}} $20 million (2006)
| equity = {{decrease}} $2 million (2006)
| num_employees = 88 (2006)
| footnotes = {{cite web | url=https://www.sec.gov/Archives/edgar/data/1043946/000119312507072212/d10k.htm | title=Verticalnet, Inc. 2006 Form 10-K Annual Report | publisher=U.S. Securities and Exchange Commission}}
}}
Verticalnet, Inc. was a host of 43 business-to-business (B2B) procurement portals headquartered in Horsham, Pennsylvania.{{cite news | url=https://www.forbes.com/forbes/1999/0823/6404090a.html | title=Land grab | work=Forbes | date=June 23, 1999}} It was famous for its market capitalization of $10.89 billion on March 10, 2000, during the dot-com bubble,{{cite news | url=https://adage.com/article/btob/verticalnet-a-web-pioneer-transition/249455 | title=VerticalNet: A Web pioneer in transition | first=Sean | last=Callahan | work=Advertising Age | date=May 8, 2000}} despite sales of only $112.5 million in 2000. Verticalnet was acquired by Bravo Solutions in 2008 for $15.2 million.
History
Verticalnet was founded in 1995 by Michael McNulty and Michael Hagan with a site called WaterOnline.
In 1997, Mark Walsh joined the company as its chief executive officer.
In 1999, on the first day of trading after its initial public offering, its shares increased in value by 180%, valuing the company at $1.6 billion, despite only having $3.6 million in quarterly revenue. The company had 1,300 advertisers, each of which were paying $6,000 per year. At that time, Internet Capital Group, now Actua Corporation, owned 28% of the company and founders Michael McNulty and Michael Hagan were each worth $60 million on paper.
In 1999, the company lost $53.5 million on revenues of $18.4 million.{{cite news | url=https://www.eetimes.com/document.asp?doc_id=1128326 | title=VerticalNet reports loss despite revenue gains | work=EE Times | date=February 22, 2001}} In 2000, revenues increased to $112.5 million and the company posted a cash loss of $28.5 million.{{cite news | url=https://www.informationweek.com/verticalnet-to-acquire-e-marketplace-narrows-losses/d/d-id/1010073 | title=VerticalNet To Acquire E-Marketplace, Narrows Losses | work=InformationWeek | date=February 23, 2001}}
In January 2000, the company received a $100 million investment from Microsoft.{{cite news | url=https://money.cnn.com/2000/01/21/technology/verticalnet/ | title=Microsoft backs VerticalNet | work=CNN | date=January 21, 2000}}
During 2000, the dot-com bubble burst, and the market capitalization of the company fell from a peak of $10.89 billion on March 10, 2000 to $3.89 billion on May 4, 2000.
In 2002, Verticalnet acquired Atlas Commerce for 14.3 million shares of Verticalnet common stock and $3.5 million of cash and the company relocated to Malvern, Pennsylvania.{{cite news | url=https://www.eetimes.com/document.asp?doc_id=1131989 | title=Verticalnet wraps acquisition of Atlas Commerce | first=Jennifer Baljko | last=Shah | work=EE Times | date=January 2, 2002}}
In 2002, VerticalNet sold its Small and Medium Business Group to Corry Publishing, now Jameson Publishing, for a cash up-front payment of $2.35 million and a four-year performance-based earn-out of $6.5 million, as well as the assumption of certain liabilities.{{cite news | url=https://adage.com/article/btob/verticalnet-sells-e-marketplaces-corry-publishing/254414 | title=Verticalnet sells e-marketplaces to Corry Publishing | first=Sean | last=Callahan | work=Advertising Age | date=July 12, 2002}}
In 2008, Bravo Solutions acquired Verticalnet for $15.2 million.{{cite press release | url=https://www.businesswire.com/news/home/20071025006569/en/BravoSolution-Acquire-Verticalnet | title=BravoSolution to Acquire Verticalnet | publisher=Business Wire | date=October 26, 2007}}{{cite press release | url=https://www.businesswire.com/news/home/20080125005671/en/BravoSolution-Completes-Acquisition-Verticalnet | title=BravoSolution Completes Acquisition of Verticalnet | publisher=Business Wire | date=January 25, 2008}}
References
{{Reflist|1}}
{{Dot-com Bubble}}
Category:1995 establishments in Pennsylvania
Category:1999 initial public offerings
Category:2008 disestablishments in Pennsylvania
Category:American companies established in 1995
Category:Companies formerly listed on the Nasdaq