News

20 December 2006

 

AXT raises $24.2m in public offering

AXT Inc of Fremont, CA, USA, which makes gallium arsenide, indium phosphide and germanium substrates, has raised net proceeds of $24.2m after closing its underwritten public offering of 5,750,000 shares of common stock at a price per share of $4.50 per share. In late November, the number of shares that was expected to be sold was 4,150,000, but on 15 December this was increased by an extra 1,600,000 shares to 5,750,000.

Also, AXT has granted the sole underwriter, Needham & Company LLC, the right to purchase up to an additional 862,500 shares to cover over-allotments, if any, up to 13 January 2007. This would raise net proceeds to $27.9m, if the over-allotment option is exercised in full. 

AXT says that it intends to use the proceeds from the offering for general corporate purposes. 

* In a recent customer survey of bulk GaAs substrate suppliers by Strategy Analytics, AXT was highlighted for its “considerable improvement in commercial ratings, though the company still needs to catch up on technical parameters”. See related item.

Visit: http://www.axt.com