Watchguard Files For Ipo, Applies For Nasdaq Listing

WASHINGTON - Seattle-based WatchGuard Technologies, which provides Internet security technology to small and midsize businesses, will seek to raise about $46 million through an initial stock offering.

The company, formed in 1996, offers software that includes a firewall to protect businesses from computer hackers and enables the creation of systems that secure business networks over the Internet, known as virtual private networks. The WatchGuard technology also enables businesses to restrict access to Web sites.

The company recorded a $9.1 million loss in 1998 on revenue of $11.4 million. In the previous year, WatchGuard reported a $4.3 million loss on revenue of $5.1 million.

WatchGuard said in the filing that it sells its software directly to Internet service providers and through 230 distributors and resellers.

WatchGuard didn't specify the number of shares it will sell or their expected price range. Those details will be included in a future filing. The $46 million top value was used solely to calculate a registration fee.

Watchguard has applied to trade on the Nasdaq market under the symbol WGRD.