The company priced its initial public offering (IPO) of 5,250,000 shares of its common stock at $17.00 per share.
Once trading began, the share price rose rapidly to over $27.00 before closing at $25.76.
The IPO will generate net proceeds for SemiLEDs of approximately $79.0 million. Back in August, SemiLEDs estimated it would generate around $ 172.5 million from its IPO.
The company intends to use these funds to expand its production capacity in Taiwan; for R&D expenses related to LED chip production based on 6-inch wafers; and for general corporate purposes, including working capital and capital expenditures.
The company says it may also use a portion of the net proceeds to acquire or invest in complementary technologies, solutions or businesses or to obtain rights to such complementary technologies, solutions or businesses.
SemiLEDs develops and manufactures LED chips and LED components primarily for general lighting applications, including street lights and commercial, industrial and residential lighting. SemiLEDs sells blue, green and ultraviolet (UV) LED chips under the MvpLED brand.
