Wink, Terayon Seek IPOs

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Alameda, Calif. -- Interactive-television-software
provider Wink Communications Inc. filed a registration statement last Wednesday to raise
about $70 million through an initial public offering of stock.

Another advanced-services vendor, cable-modem-maker Terayon
Communication Systems, filed for a $50 million IPO last Tuesday. Neither company specified
how many shares they planned to sell or at what price, but they plugged in maximum figures
for how much they expect to raise.

BancAmerica Robertson Stephens, Hambrecht & Quist LLC
and NationsBanc Montgomery Securities LLC are Wink's underwriters. BT Alex. Brown
Inc., Hambrecht & Quist and Salomon Smith Barney are underwriting the Terayon IPO.

Wink's IPO filing comes shortly after InterMedia
Partners became the first cable operator in the country to add its features to programming
offered to customers (see story, page 16). The service officially launched in Kingsport,
Tenn., last Monday. Other U.S. MSOs have tested Wink -- which offers a platform that adds
interactivity to network programming at a low cost -- and the service has been available
in Japan since October 1996.

But Wink faces competition from the likes of WorldGate
Communications Inc. and Source Media Inc.'s Interactive Channel, as well as from
cable-modem services like @Home Network and Time Warner Cable's Road Runner, in which
MSOs hold equity stakes.

Wink and Terayon said they want the IPO cash for working
capital and other general purposes. Formed in 1994, Wink has run up an accumulated deficit
of $19.9 million. Current Wink equity-holders include General Instrument Corp., NBC
Multimedia Inc. and venture-capital firm Benchmark Capital.

Since 1993, Terayon has accumulated a $42.9 million
deficit, and existing equity-holders include Cisco Systems Inc., Japanese industrial giant
Sumitomo Corp. and Canadian MSO Shaw Communications Inc.

Com21 Inc., another modem-maker, went public last month at
$12 per share. Its share price at last Thursday's close was $16.13.

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