Optical/IP Networks

Poll: Vonage IPO Gets Thumbs Down

Readers didn't have many definitive opinions about upcoming IPOs, based on the latest Light Reading poll, but they do know what they don't like: Vonage Holdings Corp. (NYSE: VG).

Asked which recent IPO would prove the biggest dud, a little more than half of the 182 respondents picked Vonage over Acme Packet Inc. (Nasdaq: APKT), Optium Corp. (Nasdaq: OPTM), Riverbed Technology Inc. (Nasdaq: RVBD), or Sandvine Inc. .

For all its popularity, Vonage still spends a lot of money on marketing, leading some to question whether the company is shaping up as a healthy long-term concern. Worse than expected losses for the June quarter probably didn't help matters. (See Vonage Misses the Mark.)

Which one is going to succeed, then? That answer was a bit murkier. Riverbed had the lead with 26 percent of the vote, and Acme Packet picked up 24 percent. Even Vonage got some love, with 17 percent picking the VOIP upstart as a hit.

As for which upcoming IPOs are looking good or bad, the poll was inconclusive. Optical components firm Opnext Inc. (Nasdaq: OPXT) will be the most successful of the crop in waiting, 41 percent of voters said -- but Allot Ltd. (Nasdaq: ALLT) -- which hadn't priced its IPO when the poll started -- and Veraz Networks Inc. (Nasdaq: VRAZ) weren't too far behind, at 27 and 33 percent, respectively.

Allot, by the way, got off to great start on Nasdaq last week, but its share price has slipped back since then to $11.61 today. (See Allot Leaps on Nasdaq Debut.)
Which of the three will make the worst IPO? Voters split in almost perfect thirds on that one; Allot took a slim lead with 36 percent of the vote, while Veraz racked up 35 percent.

No surprises in which companies readers expect to file for IPOs next: The answer remains Infinera Corp. (Nasdaq: INFN), with 32 percent of the vote, and Force10 Networks Inc. , with 28 percent -- although the latter is certainly biding its time before going public. (See Infinera: $1B IPO Imminent?, Force10 IPO Still Hanging, and 2005 Leading Lights: Where Are They Now?)

BigBand Networks Inc. (Nasdaq: BBND) ranked third among IPO possibilities, with 14 percent of the vote. Cedar Point Communications Inc. , this year's Leading Lights recipient for best merger, acquisition, or IPO candidate, chalked up just 7 percent. (See LR Names 2006 Leading Lights.)

— Craig Matsumoto, Senior Editor, Light Reading

Pete Baldwin 12/5/2012 | 3:34:14 AM
re: Poll: Vonage IPO Gets Thumbs Down Given the way Allot's IPO turned out, anyone care to draw conclusions about Veraz's or Opnext's chances? Anybody want to change their votes?
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