The share of semiconductor metrology solutions company Nova Measuring Instruments Ltd. (Nasdaq:NVMI; TASE:NVMI) rose 9.1% on Nasdaq on Thursday, bucking the 3% drop in the index, to $4.80, after raising $16 million in gross proceeds in its secondary offering.
Nova Measuring president and CEO Gabi Seligsohn said that Nova originally planned to issue 3.54 million shares, and received orders for 11 million shares.
Nova's share rose about 1,000% in 2009. The share has been rising since the company published its shelf prospectus with the US Securities and Exchange Commission (SEC) in December, to raise $20 million.
Describing the three-day offering process, Seligsohn said, "We were in a crazy marathon. We saw 35 investors, and some were the large investment houses participating in the offering."
The lead underwriter, Needham & Company LLC, is experienced in offerings by semiconductor companies. Roth Capital Partners LLC was the co-manager of the offering.
"Globes": What will you use the proceeds of the offering for?
Seligsohn: "The growth and increase in business activity we expect in 2010 requires more working capital. Furthermore, following the crisis, our customers are constantly examining our balance sheet, and increasing our cash is important because our competitors are mostly large companies."
After Thursday's jump Nova's share fell 3.5% on Nasdaq on Friday to $4.63, giving a market cap of $90 million. The share fell 2.2% by early afternoon on the TASE today to NIS 17.63, after soaring 11.6% yesterday.
Published by Globes [online], Israel business news - www.globes-online.com - on February 8, 2010
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