By Jan Paschal – Posted March 18, 2024
Astera Labs (ALAB Proposed) – an AI play – increased its IPO’s size early today to 19.8 million shares – up from 17.8 million shares – and raised the price range to $32.00 to $34.00 – up from $27.00 to $30.00. Under the new terms, Astera Labs expects to raise $653.4 million – up from $507.3 million under its original terms – according to its S-1/A filing dated March 18, 2024. The new terms represent an increase of 28.8 percent in the IPO’s size.
Morgan Stanley, J.P. Morgan, Barclays, Evercore ISI and Jefferies are the joint book-runners.
The IPO was increased by 2.0 million shares – and those shares will be sold by the company. The selling shareholders’ portion of the deal remains the same: 3.01 million shares.
Astera Labs is looking at a market cap – or a valuation – of about $5.03 billion – up from $4.29 billion under the original terms. The new market cap assumes that Astera Labs’ IPO will be priced at $33.00, the mid-point of its new range.
The bankers expect to price Astera Labs’ IPO on Tuesday night, March 19, 2024, to trade Wednesday, March 20, on the NASDAQ.
The company, founded in 2017 in Santa Clara, California, is an AI play. Astera Labs offers a semiconductor connectivity Intelligence Platform to help its clients get the most out of the cloud and AI, the prospectus says.
Astera Labs has collaborations with NVIDIA, Intel and others. The company is not yet profitable. But it has strong revenue growth – and its net loss for 2023 was down sharply from its net loss in 2022.
Stay tuned.
(For more information about this company, please check the IPO Calendar and the individual IPO Profile found on our website: IPOScoop.com )
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