Newport Beach-based chipmaker Mindspeed Technologies Inc. said Thursday it’s looking to raise around $18 million in a public stock offering.
Mindspeed is selling around 2.5 million of its common stock for $7.25 per share.
The company’s shares were trading at around $7.80 per share in early afternoon New York trading. The stock rose more than 5% on a recent market value of about $230 million.
The company said it intends to use the money it raises for operational capital as well as to refinance its debt.
The company had around $14 million in long-term debt at the end of last year.
The offering is expected to close next Tuesday, the company said.
Mindspeed makes chips for networking and spun off of from Newport Beach chipmaker Conexant Systems Inc. in 2003.
The maker of chips for routers, switches, networking gateways and other gear is expected to move its headquarters to Aliso Viejo later this year.
Mindspeed’s chips are used in wide-area networks to link different corporate offices as well as networks that span parts of cities. The company also makes chips used in devices that allow telephone calls over Internet lines.
