Entropic Communications (NASDAQ: ENTR), which develops home networking semiconductors, tried to price its IPO at $9 to $11. But investors thought the valuation was too rich. So, the deal came out at $6 per share. In all, the company raised $41.3 million.
No doubt, Entropic is in a hot space -- helping deliver video and music to homes (through cable set-top boxes). According to a study from iSuppli, the global market for home networking silicon is forecast to grow from $1.1 billion in 2007 to $3.1 billion by 2011.
Entropic has 55 customers, which includes biggies like Motorola (NYSE: MOT) and Jabil Circuit. The company also has key strategic investors, such as Cisco (NASDAQ: CSCO).
And, for the first nine months of this year, revenues spiked from $24.9 million to $82.4 million.
The lead underwriters include Credit Suisse (NYSE: CS) and Lehman Brothers (NYSE: LEH). You can find the prospectus at the SEC website. Also, for other recent IPO information, visit DealProfiles.com.
Tom Taulli is the author of various books, including The Complete M&A Handbook and The Edgar Online Guide to Decoding Financial Statements
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