SiTime Corporation Announces Pricing of Follow-on Public Offering

Rhea-AI Summary

SiTime Corporation (Nasdaq: SITM) has announced the pricing of its follow-on public offering of 1,750,000 shares of common stock at $200.00 per share. The offering is expected to generate gross proceeds of $350 million before deducting underwriting costs and other expenses.

The company has granted underwriters a 30-day option to purchase up to 262,500 additional shares at the public offering price. The offering, led by joint book-running managers UBS Investment Bank and Stifel, is expected to close on June 27, 2025.

Positive

• Expected to raise $350 million in gross proceeds
• Strong institutional backing with major underwriters including UBS, Stifel, and Goldman Sachs

Negative

• Potential dilution for existing shareholders through issuance of 1.75 million new shares
• Additional dilution possible if underwriters exercise option for 262,500 more shares

Insights

Capital Markets Specialist

SiTime's $350M follow-on offering signals capital needs while diluting shareholders; pricing at $200/share shows strong market confidence despite dilution.

SiTime has priced its follow-on public offering at $200.00 per share, raising $350 million in gross proceeds (before underwriting costs and fees). The offering consists of 1,750,000 newly issued shares, with underwriters having a 30-day option to purchase up to an additional 262,500 shares.

This capital raise represents a significant financing event with mixed implications. On one hand, the company is securing substantial funding that can fuel growth initiatives, strengthen its balance sheet, or potentially fund strategic acquisitions in the precision timing space. The solid $200 per-share pricing suggests strong institutional investor confidence in SiTime's prospects.

On the other hand, this offering will dilute existing shareholders by increasing the outstanding share count. The dilution effect depends on SiTime's pre-offering shares outstanding, but represents a material expansion of the company's equity base. Follow-on offerings typically cause near-term share price pressure as the market absorbs the additional supply.

The involvement of major underwriters like UBS, Stifel, Goldman Sachs, and others indicates broad financial industry support. The transaction's expected quick closing (June 27) suggests confidence in demand for these shares. Investors should consider both the dilution impact and the potential business acceleration that could result from the company's strengthened financial position.

SANTA CLARA, Calif., June 26, 2025 (GLOBE NEWSWIRE) -- SiTime Corporation (Nasdaq: SITM), the Precision Timing company, today announced the pricing of its follow-on public offering of 1,750,000 shares of its common stock at a price to the public of $200.00 per share. The gross proceeds of the offering to SiTime, before deducting underwriting discounts and commissions and other offering expenses, are expected to be $350 million, excluding any exercise of the underwriters’ option. The offering is expected to close on June 27, 2025, subject to customary closing conditions.

SiTime has granted the underwriters a 30-day option to purchase up to 262,500 additional shares of its common stock at the public offering price, less underwriting discounts and commissions.

UBS Investment Bank and Stifel are joint lead book-running managers for the offering. Needham & Company and Goldman Sachs & Co. LLC are joint book-running managers for the offering. Raymond James and Roth Capital Partners are co-managers for the offering.

A registration statement relating to these securities was filed with the U.S. Securities and Exchange Commission on February 26, 2024, and became effective upon filing. SiTime has also filed a preliminary prospectus supplement for the offering. The offering is being made only by means of a prospectus supplement and accompanying prospectus. Copies of the final prospectus supplement and the accompanying prospectus, when available, may be obtained from: UBS Securities LLC, Attention: Prospectus Department, 1285 Avenue of the Americas, New York, NY 10019, by telephone at (888) 827-7275 or by email at ol-prospectus-request@ubs.com or Stifel, Nicolaus & Company, Incorporated, Attention: Prospectus Department, One Montgomery Street, Suite 3700, San Francisco, CA 94104, or by telephone at (415) 364-2720 or by email at syndprospectus@stifel.com.

This press release shall not constitute an offer to sell or a 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 SiTime

SiTime Corporation is the Precision Timing company. Our semiconductor MEMS programmable solutions offer a rich feature set that enables customers to differentiate their products with higher performance, smaller size, lower power, and better reliability. With more than 3.5 billion devices shipped, SiTime is changing the timing industry.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements relating to SiTime’s expectations regarding the public offering. SiTime cautions investors not to place undue reliance on the forward-looking statements contained in this release. These statements are subject to significant risks and uncertainties, and actual results could differ materially from those projected. These risks and uncertainties include, without limitation, risks and uncertainties related to market conditions and that the closing of the offering is subject to the satisfaction of customary closing conditions. Risks and uncertainties relating to SiTime and its business can be found in the “Risk Factors” section of SiTime’s Form 10-Q for the quarter ended March 31, 2025, filed with the SEC on May 8, 2025, and in the preliminary prospectus supplement related to the public offering filed with the SEC on June 24, 2025. SiTime undertakes no duty or obligation to update any forward-looking statements contained in this release as a result of new information, future events or changes in SiTime’s expectations, except as required by law.

Investor Relations Contacts:

Shelton Group
Leanne Sievers | Brett Perry
sitm-ir@sheltongroup.com

SiTime Corporation
Beth Howe
Chief Financial Officer
investor.relations@sitime.com

FAQ

What is the price of SiTime's (SITM) follow-on public offering?

SiTime priced its follow-on public offering at $200.00 per share for 1,750,000 shares of common stock.

How much money will SiTime (SITM) raise from the follow-on offering?

SiTime expects to raise $350 million in gross proceeds before deducting underwriting discounts and other offering expenses.

When will SiTime's (SITM) follow-on offering close?

The offering is expected to close on June 27, 2025, subject to customary closing conditions.

Who are the underwriters for SiTime's (SITM) follow-on offering?

The joint lead book-running managers are UBS Investment Bank and Stifel, with Needham & Company and Goldman Sachs as joint book-running managers, and Raymond James and Roth Capital Partners as co-managers.

How many additional shares can underwriters purchase in SiTime's (SITM) offering?

Underwriters have a 30-day option to purchase up to 262,500 additional shares at the public offering price.