LONDON MagnaChip Semiconductor, a spinoff from Hynix Semiconductor Inc. that filed for bankruptcy protection in June 2009, has priced an initial public offering (IPO) of stock to raise about $130 million. This is about half the amount it had originally said it planned to raise.
The initial filing of documents with the U.S. Securities and Exchange Commission in March 2010 referenced an IPO that could raise up to $250 million. MagnaChip has now priced an offering of 7.5 million shares at between $15.50 and $17.50 per share.
MagnaChip, which makes analog and mixed-signal ICs in two wafer fabs in South Korea, only gets to keep the proceeds from the sale of 6 million shares, the other 20 percent of the offering being kept by the selling stockholders. As such a sale at the top end of the range would gather about $105 million for th company.
The company's majority owner is Avenue Capital Group (New York), an investment firm. Avenue Capital acquired a majority stake in MagnaChip after the chip maker's recent Chapter 11 filing. Avenue owns 70 percent of the company's stock.
MagnaChip filed for an IPO in 2007 with an offering value of up to $575 million but did not follow through.
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