Silicom Ltd. (SILCF)

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Silicom wraps up institutional phase of TASE offering

17.1.06 | 09:55 By Nathan Sheva
Silicom (Nasdaq, TASE: SILC) yesterday wrapped up an NIS 18 million offering to institutional investors, three weeks after dual-listing its stock in Tel Aviv.

The company, which belongs to the Tel Aviv-based RAD hi-tech group, means to raise a total of NIS 27 million through selling shares and options.
Clal Finance Batucha handled the offering together with Excellence-Nessuah Underwriting and Meitav Underwriting.

Silicom offered institutional investors three types of bundled shares and options. The winner was the first type, which was not the most lucrative for the company. Investors received a package with shares sold at an 8% discount to their market price and free options at a ratio of 2:1 - one option per two shares.

Orders for this bundle type exceeded 30% of demand.

The offering to the general public will apparently take place next week.

Silicom, which develops communications cards, did very well in 2005 after entering agreements with several of the world's biggest hardware and information security providers. Its stock rose more than 200% in 2005, though it dived 10% this year.

For the first nine months of 2005 it reported a 160% increase in revenues to $7.8 million, and a net profit of $849,000 or 20 cents per share, after losing $1.2 million in the same period of 2004.

http://www.haaretz.com/hasen/spages/671406.html

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