Force10 is once again making a move to go public. Although the company announced its intention to go public a year ago, what's different this time is that the IPO plan includes a lower targeted size, a new set of underwriters and a new plan to repay its investors.
If this plan proves to be successful, Force10 believes it can raise up to $100 million, which is lower from the initial $143.8 million proposal it made last year.
Joining the group of underwriters for the revised IPO are Advanced Equities Inc. and ThinkEquity LLC, which will replace Barclays Capital Inc. and RBC Capital Markets Corp. J.P. Morgan Securities LLC. and Deutsche Bank Inc., however, will continue to serve as the offering's main underwriters.
Part of the revamped plan will leverage some of the IPO's proceeds to pay off the $24.1 million loan it still owes to Silicon Valley Bank.
Of course, one of the issues that continues to dog Force10 is their inability to turn a profit. As of the end of March, Force10 had a loss of $25.3 million on revenue of $93.7 million.
- Wall Street Journal has this article (sub req.)
Force10 Networks gears up for IPO
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