Direct Focus Files for U.S. Stock Offering

Direct Focus Inc., Vancouver, WA, a direct marketer of fitness equipment and other products, filed to sell 1 million shares of common stock in the United States. Previously, the company's shares had only traded on the Toronto Stock Exchange. D.A. Davidson is the underwriter for the offering, which will include 825,000 shares to be sold by the company and 175,000 to be sold by certain shareholders. Direct Focus said it had applied to trade on the Nasdaq stock exchange under the symbol DFXL. Following the offering, the company will have about 10.36 million shares outstanding. The company said the proceeds from the offering will be used for working capital, capital equipment purchases and other general corporate purposes. Direct Focus markets two lines of products — Bowflex home fitness equipment and Instant Comfort sleep systems — directly to consumers via advertising on cable TV, print media and the Internet. The company also recently acquired the assets of Nautilus International Inc. from Delta Woodside Industries Inc., Greenville, SC. Direct Focus had profits of $12.5 million on revenues of $57.3 million in 1998.

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