Bluefly shares soar on Infoseek buzz
In early trading shares of Bluefly (chart), an online discount fashion retailer, were up 4 1/8 to 14 3/8 and Infoseek gained 4 5/8 to 75 7/8.
Infoseek launched Go Shop, an online shopping service offering more than a million products from 200 merchants. Go Shop also puts merchants in categories and provides best price searching.
Some of the vendors of Go Shop include BabyCenter, BigStar, Bluefly, Borders.com, Buy.com, CDW, Crutchfield, The Disney Store Online, DVD EXPRESS, ESPN The Store, FlowerFarm.com and Music Boulevard (N2K).
If Bluefly is only one of 200 vendors why all the attention?
Blame it on press release trading. In case investors missed Bluefly in the Infoseek release, Bluefly issued a statement blaring "Bluefly.com is On the Go!"
In contrast, shares of N2K (Nasdaq: NTKI) gained 1/8 to 13 1/4.
Bluefly has gotten mileage out of partnerships before. Shares of the company soared on partnerships with America Online (NYSE: AOL), At Home (Nasdaq: ATHM) and Yahoo! (Nasdaq: YHOO). "Each of the deals we do must make economic sense, and I believe we have been able to negotiate very competitive rates for many of these deals," said Jonathan Morris, executive vice president of Bluefly, in a statement.
Source: ZDII