Alameda, Calif.
Went public 3/3/2000 at $18 apiece
Filing Range:10 mil. shares @ $12 to $14
Shares Outstanding:89.31 mil. shares
Underwriters:Merrill Lynch
Banc of America Securities/U.S. Bancorp Piper Jaffray
FINANCIALS
(Data in $ millions)
Y/E Y/E
12/98 12/99
Total Revenue $105.17 $187.52
Net Loss -.3 -18.51
The Company:
UTStarcom provides communications equipment for service providers that operate wireless and wireline networks in rapidly growing communications markets. UTStarcom’s product line includes an integrated suite of network access systems, optical transmission products and subscriber terminal products. To date, substantially all of the company’s sales have been to service providers in China, one of the fastest growing communications markets in the world. China, which has a population of 1.3 billion, has only 7 phone lines per 100 people as compared to 66.1 phone lines per 100 people in the U.S. By offering communications systems that link the backbone network, the company’s solutions enables service providers to quickly deploy services to subscribers. Because of the rapid development of the Chinese communications market, service providers in China require network solutions with a suite of integrated products that address all of their access needs, including wireline and wireless, voice and data. Major investors in the company include Softbank, which will own a 52.3% stake after the offering, and Intel Pacific (5.5%), a division of Intel.
Proceeds:
Estimated net proceeds of $118.9 million will be used for research and development, capital expenditures, sales and marketing, with the balance earmarked for general corporate purposes.
Venture Backers:
Softbank Corp., Intel Pacific Inc., Wu Partners, Shey Partners
Board Members:
Masayoshi Soh
Hong Liang Lu
Ying Wu
Yoshitaka Kitao
Charles Xue
Thomas Toy
Chauncey Shey
Larry Horner