AXT, Inc. Announces Pricing of Public Offering of Common Stock
March 02 2017 - 7:00AM
AXT, Inc. (NASDAQ:AXTI), a leading manufacturer of compound
semiconductor substrates, today announced that it has priced its
previously announced underwritten public offering of 4,615,385
shares of its common stock at a price to the public of $6.50 per
share. The offering is expected to close on or about March 7,
2017 subject to satisfaction of customary closing conditions.
AXT also granted the underwriters a 30-day option to purchase at
the public offering price up to an additional 692,307 shares of its
common stock. After deducting the underwriting discount and
estimated offering expenses payable by the Company, the Company
expects to receive net proceeds of approximately $27.7 million,
assuming no exercise of the over-allotment option.
Needham & Company, LLC is acting as the sole book-running
manager and Craig-Hallum Capital Group LLC is acting as co-manager
for the offering.
AXT intends to use the net proceeds from the offering for
general corporate purposes, which may include the relocation of its
gallium arsenide product line, working capital, capital
expenditures and other corporate expenses.
A shelf registration statement relating to the shares of common
stock was previously filed with the Securities and Exchange
Commission (the “SEC”) and declared effective on November 4,
2016. A prospectus supplement and accompanying prospectus
relating to the offering will be filed with the SEC and will be
available on the SEC’s website. Copies of the prospectus supplement
(when available) and accompanying prospectus may be obtained from
Needham & Company, LLC, 445 Park Avenue, New York, NY 10022,
via telephone at (800) 903-3268 or by email to
prospectus@needhamco.com.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy these securities, nor shall there
be any sale of these securities in any state or other jurisdiction
in which such offer, solicitation or sale would be unlawful prior
to registration or qualification under the securities laws of any
such state or other jurisdiction. Any offer, if at all, will be
made only by means of the prospectus supplement and accompanying
prospectus forming a part of the effective registration
statement.
About AXT, Inc.
AXT designs, develops, manufactures and distributes
high-performance compound and single element semiconductor
substrates comprising indium phosphide (InP), gallium arsenide
(GaAs) and germanium (Ge) through its manufacturing facilities in
Beijing, China. In addition, AXT maintains its sales,
administration and customer service functions at its headquarters
in Fremont, California. The company’s substrate products can
be used primarily in fiber optic communications, 3-D sensing, solar
cell, lighting display applications and wireless communications.
Its vertical gradient freeze (VGF) technique for manufacturing
semiconductor substrates provides significant benefits over other
methods and enabled AXT to become a leading manufacturer of such
substrates. AXT has manufacturing facilities in China and, as part
of its supply chain strategy, has partial ownership in ten
companies in China producing raw materials.
“Safe Harbor” Statement Under the Private Securities
Litigation Reform Act of 1995
This press release contains forward-looking statements within
the meaning of the federal securities laws. These statements
involve risks and uncertainties that could cause actual results to
differ materially, including, but not limited to, the satisfaction
of customary closing conditions and whether or not AXT will
consummate the offering, prevailing market conditions, the
anticipated use of the proceeds of the offering, which could change
as a result of market conditions or for other reasons, and the
impact of general economic, industry or political conditions in the
United States or internationally. There can be no assurance
that AXT will be able to complete the offering on the anticipated
terms, or at all. Additional risks and uncertainties relating
to the offering, AXT and its business can be found under the
heading “Risk Factors” in AXT’s Annual Report on Form 10-K for the
fiscal year ended December 31, 2016 and in the prospectus
supplement and accompanying prospectus relating to the offering to
be filed with the Securities and Exchange Commission. AXT
assumes no duty or obligation to update or revise any
forward-looking statements for any reason.
Contacts:
Gary L. Fischer
Chief Financial Officer
(510) 438-4700
Leslie Green
Green Communications Consulting, LLC
(650) 312-9060
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