PrizeMasters Plans to Offer $2 Million in Stock

PrizeMasters, a North Hollywood firm that makes puzzle contests, said it plans to raise $2 million in an initial public offering of 333,333 common share units through Wall Street West of Englewood, Colo. It said each share unit would be offered for $6 and would include one common share, one class A warrant and one class B warrant.

The company’s puzzles are marketed through direct mailings and matchbooks. It gives prizes to winning contestants. Officials said the money raised from the offering would be used to increase promotions, develop new products, expand its customer base and develop new ways to promote contests electronically.