Semiconductor solutions provider,
), recently announced its plans to raise funds from the equity
market by issuing new shares of common stock, each having a face
value of $0.001. The size of the public offering, however, was
The company intends to use the proceeds to meet working
capital and general corporate requirements. The funds may also be
utilized to cover QuickLogic's capital expenditures, such as
investments in and acquisitions of complementary businesses,
partnerships, or the buying of minority stake in businesses to
repay debts. During the nine months ended Sep 29, 2013, the
company incurred $1.2 million in capital expenditures for
property and equipment.
Furthermore, the funds may be used for licensing or acquiring
intellectual property or technologies for its products.
The recent public offering, if approved, will boost the
company's liquidity position. QuickLogic's financial position is
weak as it is suffering from quarterly losses and generating
negative cash flow from operating activities. As on Sep 30, 2013,
the company reported cash and cash equivalents worth $14.9
During the third quarter of 2013, the company reported net
loss of $2.3 million, or 5 cents per share. Moreover, for the
nine-month period ended Sep 29, 2013, its loss stood at $9.1
million or 20 cents per share. The company reported negative
operating cash flow during the nine months ended Sep 29,
QuickLogic currently carries a Zacks Rank #3 (Hold).
Better-placed stocks within the semiconductor sector worth
Mindspeed Technologies, Inc
). While Avago and Cavium, each carry a Zacks Rank #2 (Buy),
Mindspeed holds a Zacks Rank #1 (Strong Buy).
AVAGO TECHNOLOG (AVGO): Free Stock Analysis
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MINDSPEED TECH (MSPD): Free Stock Analysis
QUICKLOGIC CORP (QUIK): Get Free Report
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