Issue: The Best
Proxy for the 'E-Commerce for Local Services' Model
News: On January
26, ImproveNet Inc. acknowledged that Nasdaq had notified the local services
Web site company that it faced delisting unless it began trading above
a dollar on a sustained basis. ImproveNet is one of the original providers
of local service merchant matching.
In spite of announcements
this month regarding new alliances with Allstate Insurance, CheckSpace
and National Credit Systems, ImproveNet's stock closed at $0.47 yesterday.
Prospects appear bleak that the company can surmount Nasdaq's hurdle of
trading for 10 consecutive days above $1 to avoid delisting - it only
has until April 4 to do so. Clearly, ImproveNet needs to acquire more
customers, and it continues to mount significant losses and burn through
cash reserves in an environment that makes a secondary offering all but