VNU Net: Transmeta reveals IPO plansAug 19, 2000, 00:24 (0 Talkback[s])
(Other stories by Claire Woffenden)
By Claire Woffenden, VNU Net
US startup Transmeta has announced plans for its much anticipated initial public offering (IPO), which it will use to fund the development of its low-power chips designed for use in notebook PCs and mobile internet devices.
Transmeta, which filed a registration statement with the Securities and Exchange Commission late yesterday, hopes to raise $200m through the offering.
The company has not set a date for the IPO, which lists six chip lines comprising three processors for internet appliances and three TM5X00 chips for notebook computers. It also did not specify the number of shares it expects to offer.
Andy Brown, an analyst at IDC, said the IPO is an important move for Transmeta, as the company will need to be well established when products containing its chips are released in the autumn.
"It will be interesting to see if any companies that don't have a stake in Transmeta use the chips in their devices," he said.
Earlier this week, Sony said it will launch a notebook computer using Transmeta's low-power chips later this year. IBM has also pledged to use Transmeta's Crusoe chips in its I-Series of consumer notebooks in the fourth quarter of this year. Both companies have invested money in the chip startup.
Morgan Stanley Dean Witter and Deutsche Bank Alex Brown will act as managers for the proposed offering.