Specialty foundry TowerJazz Ltd. (Nasdaq: TSEM; TASE: TSEM) has raised by using its Standby Equity Purchase Agreement (SEPA) from Yorkville Advisors LLC. Tower offered Yorkville fund YA Global Master SPV Ltd. 4,506,480 ordinary shares at $1.55 per share.
The share price for the allotment is apparently based on Tuesday's closing price of $1.60, in line with the 3% discount set out in the SEPA.
TowerJazz signed the $25 million two-year SEPA with Yorkville on August 11, 2009, and drew on the funds in late August and in February 2010. With today's deal, TowerJazz is completing the SEPA quite early.
TowerJazz's share price has risen 26% in the past month, resulting in a higher price for today's allotment compared with the previous allotments.
With the latest allotment, Tower will have given Yorkville 21,709,576 shares for a total of $24,950,815, leaving a balance of $49,185 in the SEPA.
TowerJazz's share rose 4.4% on Nasdaq yesterday to $1.67, giving a market cap of $312 million. The share rose 0.6% in morning trading on the TASE today to NIS 6.34.
Published by Globes [online], Israel business news - www.globes-online.com - on March 18, 2010
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