In brief: Tegal and RF Micro Devices
Tegal signs $22.5 million investment deal
Plasma etch and deposition equipment supplier Tegal says that it has agreed new financing worth $22.5 million.
The Petaluma, CA, company has agreed to sell unspecified investors common stock and five-year warrants in two stages.
The initial step will see $4.1 million raised, with the remaining $18.4 million to follow.
Overall, the sale will involve 34.6 million common shares "“ around two-thirds of Tegal "“ plus 17.35 million warrants to purchase additional common shares for $1. Tegal currently has a market capitalization of around $49 million and a share value of just under a dollar.
The second step in the investment plan is subject to shareholder approval at the next annual meeting, scheduled for September 13.
RFMD ups guidance on strong growth
Power amplifier and RF chipset supplier RF Micro Devices has increased its revenue forecast for the quarter that ended on June 30 to $164.3 million.
Although the Greensboro, NC, company will also be hit by a $5 million cash charge for the period, the net figure will still be well in excess of the "mid-$150 million" revenue guidance it issued in April.
"RFMD experienced stronger-than-expected orders in the June quarter for its power amplifiers, Polaris Total Radio transceiver chipsets and Bluetooth products," said the company. "[RFMD] believes its wireless end markets are continuing to show strong growth rates."
Some of that growth has been driven by design wins for Polaris at Motorola, and RFMD's transceiver will feature strongly in Motorola's forthcoming cell phone handsets.
RFMD will report its latest financial results and give future guidance on July 26.
