Allegro MicroSystems Announces Closing of Initial Public Offering and Exercise in Full of the Underwriters’ Option to Purchase Additional Shares
Allegro MicroSystems announced the closure of its initial public offering (IPO) on Nov. 2, 2020, issuing 28,750,000 shares at $14.00 each.
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Rhea-AI Summary
Allegro MicroSystems announced the closure of its initial public offering (IPO) on Nov. 2, 2020, issuing 28,750,000 shares at $14.00 each. This includes an additional 3,750,000 shares purchased by underwriters. Allegro netted approximately $320.8 million after expenses, planning to use part of the proceeds to repay term loan borrowings and for general corporate purposes. The shares trade on Nasdaq under the symbol ALGM.
Positive
- Net proceeds of approximately $320.8 million for debt repayment and general corporate purposes.
- The IPO indicates investor confidence in Allegro's semiconductor technology.
Negative
- Potential dilution of existing shares due to the sale of shares by Selling Stockholders.
Details
News Market Reaction – ALGM
The recorded move for ALGM in the trading session of this news was +6.33%.
Data tracked by StockTitan Argus. Session date unavailable.
AI-generated analysis. How Rhea-AI works. Not financial advice.
MANCHESTER, N.H., Nov. 02, 2020 (GLOBE NEWSWIRE) -- Allegro MicroSystems, Inc. (“Allegro”), a global leader in sensing and power semiconductor technology, announced today the closing of its previously announced initial public offering of 28,750,000 shares of its common stock at a price to the public of
After deducting the underwriting discount and estimated offering expenses payable by Allegro, the net proceeds to Allegro were approximately
Barclays, Credit Suisse, and Wells Fargo Securities served as joint lead book-running managers for the offering. Jefferies, Mizuho Securities, Needham & Company and SMBC Nikko acted as book-running managers for the offering.
The offering was made only by means of a prospectus. Copies of the prospectus relating to this offering may be obtained from Barclays Capital Inc., Attn: Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, by telephone at 888-603-5847, or by email at Barclaysprospectus@broadridge.com; Credit Suisse Securities (USA) LLC, Attn: Prospectus Department, 6933 Louis 31 Stephens Drive, Morrisville, North Carolina 27560, Telephone: 1-800-221-1037, Email: usa.prospectus@credit-suisse.com; Wells Fargo Securities, LLC, Attn: Equity Syndicate Department, 500 West 33rd Street, New York, NY 10001, by telephone at 800-326-5897 or by email at cmclientsupport@wellsfargo.com.
A registration statement relating to these securities was declared effective by the U.S Securities and Exchange Commission on October 28, 2020. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state or 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 jurisdiction.
About Allegro MicroSystems
Allegro MicroSystems is a leading global designer, developer, fabless manufacturer and marketer of sensor integrated circuits (“ICs”) and application-specific analog power ICs enabling emerging technologies in the automotive and industrial markets. Allegro’s diverse product portfolio provides efficient and reliable solutions for the electrification of vehicles, automotive ADAS safety features, automation for Industry 4.0 and power saving technologies for data centers and green energy applications.
Contact: Katherine Blye
Senior Director, Investor Relations
Phone: +1 603 626-2306
kblye@allegromicro.com
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