Semiconductor IPO: Entropic Communications

Entropic Communications (ENTR) is a leading fabless semiconductor company that designs, develops, and markets systems solutions to enable connected home entertainment. i.e. TV /HD video, movies, music, games and videos.

All quotations are from the company’s most recent S-1 filing with links provided.

ENTROPIC COMMUNICATIONS (ENTR)
Business Overview (from prospectus)

We are a leading fabless semiconductor company that designs, develops and markets systems solutions to enable connected home entertainment. Our technologies significantly change the way high-definition television-quality video, or HD video, and other multimedia content such as movies, music, games and photos are brought into and delivered throughout the home.

Offering: 10 million shares at $9.00 - $11.00 per share. Net proceeds of approximately $89.7 million will be used to obtain additional capital to support our operations, create a public market for our common stock and facilitate our future access to the public equity markets.

Lead Underwriters: Credit Suisse, Lehman Brothers

Financial Highlights:

Net revenue was $7.26 million for the three months ending March 31, 2006, and $20.026 million for the three months ending March 31, 2007, an increase of $12.75 million or 175%...Gross profit was $2.185 million for the three months ending March 31, 2006 and $5.495 million for the three months ending March 31, 2007, a increase of approximately $3.3 million… G&A expenses were $512,000 for the three months ending March 31, 2006 and $767,000 for the three months ending March 31, 2007, an increase of $255,000… Sales and Marketing expenses were $763,000 for the three months ending March 31,2006 and $1.5 million for the three months ending March 31, 2007, an increase of $737,000…R&D expenses were $2.5 million for the three months ending March 31, 2006 and $4.2 million for the three months ending March 31, 2007.

Additional Resources:

• Company Website
• Online Roadshow
• IPOhome.com: ‘Semiconductor company Entropic Communications announces IPO terms’
• Small Cap Investor.com: ‘IPO Watch: Entropic Communications’
• AP: ‘IPO Spotlight: Pre-Holiday Season’