News

18 September 2009

 

Cree public offering underwriters boost proceeds to $434m

Cree Inc of Durham, NC, USA, which manufacturers LED chips, lamps and lighting fixtures as well as gallium nitride and silicon carbide power-switching and RF/wireless devices and SiC substrates, says that the underwriters of its recent public offering of common stock have fully exercised their over-allotment option, resulting in the issue of an additional 1.65 million shares.

The option was granted in connection with the public offering of 11 million shares at a public offering price of $35.50 per share, which closed on 16 September.

The exercise of the over-allotment option brings the expected total net proceeds to $434.1m (after deducting offering expenses and underwriting discounts and commissions payable by Cree).

The firm intends to use the proceeds for anticipated capital expenditures of about $150m in fiscal 2010 (from 1 July 2009 to end-June 2010) and additional future capital expenditure needs, with the remainder being used for general corporate purposes including working capital and potential strategic investments.

See related items:

Cree common stock offering targets $150m CapEx in fiscal 2010

Cree grows 15% to record annual revenue of $567m

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Visit: www.cree.com