| NeoMagic Corporation | |||
| (www.neomagic.com) | |||
| Ticker: | NMGC | 3260 Jay Street | |
| Exchange: | NASDAQ-National Market | Santa Clara, CA 95054 | |
| Industry: | High-Tech (SIC Code 3674) | (408) 988-7020 | |
| Type of Shares: | Common Shares | Filing Date: | 1/17/97 | |
| U.S. Shares: | 3,000,000 | Offer Date: | 3/13/97 | |
| Non-U.S. Shares: | 0 | Filing Range: | $9.00 - $11.00 | |
| Primary Shares: | 3,000,000 | Offer Price: | $12.00 | |
| Secondary Shares: | 0 | Gross Spread: | $0.84 | |
| Offering Amount: | $30,000,000 | Selling: | $0.50 | |
| Expenses: | $900,000 | Reallowance: | $0.10 | |
| Shares Out After: | 23,332,205 |
| Manager | Tier | Phone |
| Morgan Stanley & Co. Incorporated | Lead Manager | (212) 761-5900 |
| Montgomery Securities | Co-manager | (415) 627-2100 |
| Robertson, Stephens & Company | Co-manager | (415) 989-8500 |
| Issuer's Law Firm: | Wilson, Sonsini, Goodrich & Rosati |
| Bank's Law Firm: | Venture Law Group |
| Auditor: | Ernst & Young |
| Registrar/Transfer Agent: | Boston Equiserve Limited Partnership |
Dollar amounts in U.S. millions except for per share data | |||||
| Full Year Audited Income | Latest Unaudited Income | Prior Unaudited Income | Balance Sheet | ||
| 1/31/97 | 1/31/97 | ||||
| Revenue: | $40.79 | Assets: | $27.46 | ||
| Net Income: | -$1.16 | Curr Assets: | |||
| EPS: | -$0.05 | Liabilities: | $23.26 | ||
| Prior EPS: | Curr Liabilities: | ||||
| Cash Flow/Oper: | -$3.07 | Equity: | $4.20 | ||
| Cash Flow/Fin: | Cash: | ||||
| Cash Flow/Inv: | |||||
| Business Description |
| The company designs, develops and markets multimedia accelerator solutions for sale to notebook PC manufacturers. The company believes it has developed the first commercially available high performance silicon technology that integrates large DRAM memory with analog and logic circuitry to provide a high-performance multimedia solution on a single chip. The company's MagicGraph128 family of pin-compatible, multimedia accelerator products incorporates a 128-bit memory bus. The company believes these products enable notebook PC manufacturers to deliver state-of-the-art multimedia capability while decreasing power consumption, size, weight, system design complexity and cost. The company has achieved design wins with eight of the world's ten largest notebook PC manufacturers, and its MagicGraph128 products are currently used in notebook PCs sold by Acer, Compaq, Dell, Digital Equipment, Fujitsu, Hewlett-Packard, Hitachi, Mitsubishi, NEC, Sharp and Texas Instruments. |
| Competition |
| The market for multimedia accelerators for notebook PCs in which the company competes is intensely competitive and is characterized by rapid technological change, evolving industry standards and declining average selling prices. The company believes that the principal factors of competition in this market are performance, price, features, power consumption, size, weight and software support. The ability of the company to compete successfully in the rapidly evolving notebook PC market depends on a number of factors, including success in designing and subcontracting the manufacture of new products that implement new technologies, product quality, reliability, price, the efficiency of production, design wins for the company's integrated circuits, ramp up of production of the company's products for particular system manufacturers, end-user acceptance of the system manufacturers' products, success of competitors' products and general economic conditions. There can be no assurance that the company will be able to compete successfully in the future. |
| Business Plan |
| The company's goal is to be a leading global supplier of multimedia semiconductor solutions for the notebook PC market. The company's strategy for mobilizing multimedia includes the following elements: (I) Maintain Leadership in Providing Multimedia Accelerator Solutions for Notebook PCs, (ii) Cultivate Long Term Relationships with Leading Notebook PC Companies, (iii) Establish Strategic Relationships with World-Class DRAM Partners and (iv) Extend Core Technology to Address New Market Opportunities. |
| Use of Proceeds |
| The proceeds from the proposed offering will be used for general corporate purposes including working capital and capital expenditures. |