Montage Technology rises after pricing IPO below range

|About: Montage Technology Group Li... (MONT)|By:, SA News Editor

After pricing its 7.1M-share IPO at $10, below a prior range of $12-$14, Montage Technology (MONT) opened at $10.10, but has since rallied to $12.69, good for a 26.9% gain. The analog/mixed-signal chipmaker currently has a market cap of $342M, or 4.4x 2012 sales.

Montage, whose chips are used in set-top boxes and server DRAM modules, had 1H revenue of $45.4M (+34% Y/Y), and net income of $1.6M. Set-top chip rivals include STMicroelectronics and RDA Microelectronics, and server chip rivals include Texas Instruments and IDT.

S-1, IPO preview