Widespread losses in the market triggered by overseas investors were taking their toll in the Internet sector as well, though there was already talk about traders sponsoring the sharp drop.
TheStreet.com Internet Sector
index was down 45.20, or 3.4%, to 1275.11 in recent trading after reaching a low of 1247.84 early on.
TheStreet.com New Tech 30 was down 87.61, or 9.7%, to 818.56.
Old and new Net were feeling the pain, and those that have rallied of late were among the harder hit.
was off 4 3/4, or 2%, to 188 1/2, though it traded as low as 180 7/8.
was down 2 1/2, or 4%, to 64 7/16 and
was off 6 1/2, or 7%, to 88, though it traded as low as 82 3/8.
Among the new,
was down 23 1/16, or 7%, to 294 7/16;
was off 6 13/16, or 4%, to 163, though it traded as low as 155. And
was down 8 1/8, or 6.6%, to 115 1/2.
was down 22 1/2, or 11%, to 185 1/2 on news that it was buying rival business-to-business software maker
for $9.3 billion. Under terms of the agreement, iTwo will exchange 0.155 share of its stock for each share of Aspect Development. Aspect Development was up 7, or 8%, to 92.
also was among the leading decliners, down 15 points, or 30%, to 35. A number of research houses lowered quarterly estimates on the Latin American portal because of increased costs.
downgraded its intermediate term rating on StarMedia to accumulate from buy. Merrill analyst Michel Morin wrote that the company "will have to spend more than we had originally thought in order to meet our recently revised revenue forecasts." Morin maintained revenue estimates for Starmedia, as it lowered its loss estimate for 2000 to $2.20 from $1.79.
In other merger news,
was buying Midwest Internet services provider
in a cash and stock deal worth about $540 million. CoreComm was up 1 7/8, or 4%, to 49 3/4, while Voyager.net was up 1 1/8, or 9%, to 14 1/8.
was up 2 3/4, or 10%, to 31 5/16 after the company said it will launch an online service aimed at high-speed users. The service will combine high-speed access along with an "always-on" connection, a software package designed for broadband, and personalized Excite broadband content.
is down 1 1/4 or 13 %, at 8 3/16 following news that it had terminated its merger with
in place of a new agreement. CDnow will remain an independent public company with continued ties to Time Warner, Sony and Columbia House, with Time Warner and Sony providing $21 million in cash to CDnow, and converting an existing $30 million short-term loan commitment into long-term convertible debt.