Dot-bombs a thing of the past?

NEWS The fortunes of dot-com companies could be taking a turn for the better, according to a report on mergers and acquisitions in the first half of 2001, conducted by research firm Webmergers. Webmergers said despite tough times for internet-based companies, the sector has seen record-breaking deals in the second quarter, which it believes signals the second wave of internet mergers and acquisitions. During July 99 internet companies were acquired for $2.9bn, roughly equal to the money raised during both April and May, though down on June's figure of $6bn. $32bn has been spent so far in 2001 on internet buyouts. The report stated that a total of 32 internet companies closed down or filed for bankruptcy in July - down on the previous month's figure of 58. This was the lowest figure since September 2000. Webmergers added that a surge of B2C shutdowns are coming to an end, but the B2B companies are only starting to see the hardest part of the sector's shakeout - resulting in an overlap earlier this year that contributed to the high number of shutdowns. The report stated the biggest dot-com failure in July was online grocer Webvan.