Milwaukee Shareholders Hope for Higher IPO

By: Lucia Moses Last week's announced preliminary IPO price range by employee-owned Journal Communications Inc., at $13.50 to $15.50, disappointed shareholders, or unitholders, who thought their shares were worth more. But one company watcher said the range reflects underwriters' typical conservativism before the road show for investors.

"They don't want to be embarrassed," said Michael Steppe, chief investment officer at Brookfield Investment Partners in Brookfield, Wis., and a company admirer. "Recently a fair number of companies have popped on the opening. I think there's going to be a lot of interest in Journal stock."

Under a plan that must be approved by unitholders by Sept. 2, the parent of the Milwaukee Journal-Sentinel would sell as much as $250 million in stock to raise money for expansion.