Allegro MicroSystems, a fabless chip producer for auto and industrial markets being spun out of Sanken, announced terms for its IPO on Wednesday.
The Manchester, NH-based company plans to raise $325 million by offering 25 million shares at a price range of $12 to $14. At the midpoint of the proposed range, Allegro MicroSystems would command a market value of $2.5 billion.
Allegro Microsystems is a leading global designer, developer, fabless manufacturer and marketer of sensor integrated circuits (ICs) and application-specific analog power ICs for the automotive and industrial markets. The company's portfolio includes more than 1,000 products, and it ships over 1 billion units annually to more than 10,000 customers worldwide.
Allegro MicroSystems was founded in 2013 and booked $613 million in revenue for the 12 months ended June 30, 2020. It plans to list on the Nasdaq under the symbol ALGM. Barclays, Credit Suisse, Wells Fargo Securities, Jefferies, Mizuho Securities, Needham & Co. and SMBC Nikko are the joint bookrunners on the deal. It is expected to price during the week of October 26, 2020.
