| Accelgraphics, Inc. | |||
| (www.ag3d.com) | |||
| Ticker: | ACCL | 1942 Zanker Road | |
| Exchange: | NASDAQ-National Market | San Jose, CA 95112 | |
| Industry: | High-Tech (SIC Code 7372) | (408) 441-1556 | |
| Type of Shares: | Common Shares | Filing Date: | 2/7/97 | |
| U.S. Shares: | 2,600,000 | Offer Date: | 4/11/97 | |
| Non-U.S. Shares: | 0 | Filing Range: | $10.00 - $12.00 | |
| Primary Shares: | 2,145,000 | Offer Price: | $9.00 | |
| Secondary Shares: | 455,000 | Gross Spread: | $0.63 | |
| Offering Amount: | $28,600,000 | Selling: | $0.35 | |
| Expenses: | $750,000 | Reallowance: | $0.10 | |
| Shares Out After: | 7,906,307 |
| Manager | Tier | Phone |
| Cowen & Company | Lead Manager | (212) 495-6000 |
| Robertson, Stephens & Company | Co-manager | (415) 989-8500 |
| SoundView Financial Group, Inc. | Co-manager | (203) 462-7242 |
| Issuer's Law Firm: | Venture Law Group |
| Bank's Law Firm: | Morrison & Foerster |
| Auditor: | Price Waterhouse |
| Registrar/Transfer Agent: | Harris Trust & Savings Bank |
Dollar amounts in U.S. millions except for per share data | |||||
| Full Year Audited Income | Latest Unaudited Income | Prior Unaudited Income | Balance Sheet | ||
| 12/31/96 | 12/31/96 | ||||
| Revenue: | $18.67 | Assets: | $8.44 | ||
| Net Income: | -$0.93 | Curr Assets: | |||
| EPS: | -$0.15 | Liabilities: | $4.68 | ||
| Prior EPS: | Curr Liabilities: | ||||
| Cash Flow/Oper: | -$1.33 | Equity: | $3.76 | ||
| Cash Flow/Fin: | Cash: | ||||
| Cash Flow/Inv: | |||||
| Business Description |
| The company is a leading provider of high performance, cost-effective, 3-dimensional graphics subsystems, software accelerators and application utility software products for the professional Windows NT and Windows 95 markets. The company pioneered the development of professional 3D graphics and subsystems for use with Microsoft's Windows NT operating system. A 3D graphics subsystem integrates graphics acceleration chip(s), specialized hardware, firmware, software and memory. The company's 3D graphics subsystems, when included in an Intel Pentium, Pentium Pro or Digital Alpha-based computer, create a new class of computer system called a "Personal Workstation". Personal Workstations, which often sell for less than $10,000, provide capabilities and performance comparable to more expensive 3D graphics RISC/UNIX workstations. In January 1995, AccelGraphics shipped what the company believes was the first 3D graphics subsystem for NT and currently offers three distinct 3D graphics subsystem product lines. |
| Competition |
| The market for #D graphic accelerators is extremely competitive and subject to rapid change. The company expects competition to increase in the future from existing competitors and from new market entrants with products that may be less costly than the company's products or provide better performance or additional features not currently provided by the company. The company competes with the following three major groups: professional 3D graphics board companies, RISC/UNIX workstation companies and traditional volume PC board supplies. |
| Business Plan |
| The company's objective is to become the leading supplier of high-performance 3D graphics subsystems and 3D enabling software applications for professional users. The company's business strategy includes the following: 1) extend leadership position in professional 3D graphics on personal workstations; 2) provide system engineered solutions; 3) cultivate relationships with ISVs; 4) expand OEM and International sales; 5) develop and penetrate new markets; 6) focus on value added 3D software; 7) silicon independence. |
| Use of Proceeds |
| The proceeds from the proposed offering will be used for general corporate purposes including payment of certain indebtedness, working capital, capital expenditures, research and development and potential acquisitions of businesses and technologies. |