Under Slim, Prodigy
first announced that it would shutter its proprietary AOL-like content service--due to Y2K problems according to the official line--and concentrate on providing Internet service and a web portal.
A management buyout of Prodigy
had been expected for weeks.
Marketed primarily to the novice and the family, Prodigy
has cornered 41% of the online market.
, a partnership of IBM and Sears, provides and markets the Prodigy
service, the nation's most popular home computer network with more than one and a half million members.
Selected especially for the proven scalability of its high-bandwidth media delivery network and comprehensive reporting tools, VitalStream enables fast downloads of Prodigy
In connection with the offering, Prodigy
paid Union Securities Ltd.
Here in Telmex, we are proud that Internet Systems Consortium and NIC Mexico had chosen Prodigy
Data Center facilities to locate the first Root Nameserver in Mexico.
85 million shares (including guaranteed deliveries), of Prodigy
Class A common stock, representing approximately 90.
SBC, which already owns a 42 percent stake in Prodigy
, has agreed to revise its tender offer and to acquire the balance of Prodigy
's common stock at $6.
During the past several days, the Independent Directors Committee of Prodigy
's Board of Directors has been engaged in discussions with representatives of SBC regarding a possible increase in the price being offered by SBC for Prodigy
Class A common stock and the possibility of a negotiated transaction.
For 2001, Prodigy
is increasing its EBITDA estimate from $40 million to $42 million reported in the second quarter to $52 million to $55 million.
The price increase is effective October 1, 2001, for new Prodigy
members, and November 1, 2001, for current members.