Speaking of the devil:
Gadzoox doubles IPO range to $18-$20
Network device firm to issue 3.5 million shares
By William L. Watts, CBS MarketWatch
Last Update: 2:42 PM ET Jul 16, 1999
NewsWatch
IPO Daily Report
SAN JOSE, Calif. (CBS.MW) -- Gadzoox Networks Inc.doubled the price of its upcoming
initial public offering to $18 to $20 a share, according to a document filed with the Securities
and Exchange Commission on Friday.
The maker of hubs, switches and storage area network software still plans to offer 3.5 million
shares. The sale equals a 14.2 percent stake in the company and will establish a market value
of $467.2 million, based on more than 24.5 million outstanding shares at a price of $19 each.
Newstraders.com first reported the story Friday morning.
Gadzoox has applied to trade on Nasdaq under the symbol, "ZOOX."
Disk-drive manufacturer Seagate Technologies (SEG: news, msgs) and its affiliates will hold
a 20 percent stake in the company after the offering, the filing showed.
Gadzoox expects to see net proceeds of nearly $61 million, which will be used for working
capital, research and development, sales channel development and other purposes.
The company, based in San Jose, Calif., saw a net loss of $3.1 million on revenue of $9.2
million in the quarter ended June 30. |
