LookSmart: Organisation the Key to Profits

"We need to get big quick . . . and keep growing as fast as we can," said Thornley, at the beginning of a local visit to promote the company's compliance listing on the ASX.

As a result, investors can expect to see some "pretty bold moves on the acquisition front", he said.

And displaying the business sense that has seen his personal wealth increase almost ten-fold in the last 12 months, Thornley would not rule out the acquisition of LookSmart by another company if the price was right.

The LookSmart Internet directory attracts 65 million users worldwide. Of those, 45 million are based in the US and provide more than 90 per cent of the company's income.

Revenues reached $US48.9 million last year, although the company made a net loss of $US74.5 million. Thornley said he expects to turn a profit by the end of 2001.

The compliance listing would see the company jointly listed on the Nasdaq and the ASX, making it easier for Australians to trade in the stock. While the company will not be selling any new shares as part of the local listing, the move would make it easier for LookSmart to raise funds through the local market in the future.

Thornley expects the compliance listing to increase the liquidity of LookSmart's stock as early Australian investors Mezzanine Investments and Macquarie Bank sell their shares, which have netted them a return of almost 100 times what they paid for them.

"While we already have a lot of Australian shareholders, there are a lot of other institutions and individuals that we believe would like to take an interest in the company," Thornley said, speaking from the US last week.

The company will float between $150 million and $200 million worth of shares, which are set to start trading on the ASX next Wednesday. The stock will be priced at 20 times less than the company's ordinary Nasdaq shares -- priced at about $US33 -- which would translate to a local price of around $2.44. The company has forecast the stock price to increase to $4.47 within 12 months.

Thornley said it was a fundamental part of the company's strategy to build its profile as a provider of search and navigation tools to other Websites, as well as building on the www.looksmart.com brand.

Join the newsletter!


Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

David Smedley

PC World
Show Comments

Cool Tech

Toys for Boys

Family Friendly

Stocking Stuffer

Logitech Ultimate Ears Wonderboom Bluetooth Speaker

Learn more >

SmartLens - Clip on Phone Camera Lens Set of 3

Learn more >

Christmas Gift Guide

Click for more ›

Brand Post

Most Popular Reviews

Latest Articles


PCW Evaluation Team

Maryellen Rose George

Brother PT-P750W

It’s useful for office tasks as well as pragmatic labelling of equipment and storage – just don’t get too excited and label everything in sight!

Cathy Giles

Brother MFC-L8900CDW

The Brother MFC-L8900CDW is an absolute stand out. I struggle to fault it.

Luke Hill


I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Laura Johnston

MSI GS65 Stealth Thin

If you can afford the price tag, it is well worth the money. It out performs any other laptop I have tried for gaming, and the transportable design and incredible display also make it ideal for work.

Andrew Teoh

Brother MFC-L9570CDW Multifunction Printer

Touch screen visibility and operation was great and easy to navigate. Each menu and sub-menu was in an understandable order and category

Featured Content

Product Launch Showcase

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?