01 December 2000



Petsmart Withdraws IPO

Petsmart.com, the U.S online pet products retailer which rivalled Pets.com has backed out of its planned $115 million public share offering.

In a statement made through the U.S. Securities and Exchange Commission (SEC) yesterday, the company acknowledged 'unfavorable market conditions', (shares in Pets.com recently traded at 19 cents on Nasdaq), as the reason for the withdrawal.

Petsmart, which currently owns over 80% of the Petsmart.com site and which also owns a mail order operation and more than 525 superstores in the United States and Canada, had earlier warned that it expected to report lower-than-expected results for their third quarter, which ended at the beginning of November.

Petsmart recently bought the web address 'Pets.com' from the failed Pets.com venture.

Copyright 2000 Steve O'Malley (UKPets).
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