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Chipmaker Jazz Again Files for IPO

Newport Beach-based Jazz Semiconduc-tor Inc. is making its second run at the public markets, the company said last week in a filing with the Securities and Exchange Commission.

The company, a contract chipmaker formerly part of Newport Beach-based Conexant Systems Inc., filed an initial public offering plan seeking to raise $105 million.

That’s nearly a third less than the $150 million Jazz had sought when it filed its first public offering in early 2004 before it yanked it in June of last year.

At the time, Dwight Decker, chief executive of Conexant, which owns 40% of the company, had said he wanted to keep the filing alive, but had to pull it to comply with regulatory rules.

Washington, D.C.-based private equity investor Carlyle Group owns 47% of Jazz. It acquired the stake at the time of its split from Conexant in 2002.

The offering could be challenging. The company’s revenue has been declining and its losses widening.

In 2005, revenue declined 9% from 2004 to $199 million.

Revenue grew by more than 18% the previous year.

Net losses were $11.5 million, more than double the net loss of $4.3 million in 2004 as gross margins shrank.

Net losses were nearly $6 million in 2003.

The company said revenue from its founding members, Conexant and Woburn, Mass.-based Skyworks Solutions Inc., declined $43 million last year.

The decline was partially offset by a $22.5 million increase in revenue from new customers. About 60% of its revenue base comes from Conexant and Skyworks.

,Brian Womack

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