Resonant, a late stage Goleta development company designing small smartphone technology, plans to raise $9.2 million in a public offering.
Documents filed with the Securities and Exchange Commission Sept. 9 said the company plans to offer about 2.4 million shares for $4.25 per share. The company expects to complete the offering by Sept. 14.
Resonant designs a smartphone component called a duplexer. The duplexer acts as a phone’s eyes. A set of filters inside the duplexer selects which radio frequencies to use for sending and receiving signals and blocks unwanted signals. Each filter is a just a few millimeters in size and some sit near a phone’s internal antenna.
While smartphone demand is decreasing, demand for Resonant products is increasing.
The National Securities Corporation will underwrite the offering. After underwriting discounts, Resonant expects proceeds to be about $9.2 million. The company estimated the cost of holding the offering to be around $215,000.
Resonant said it plans to use the new funds for working capital, capital expenditures and other general corporate purposes, and for product development. In its last quarterly report filed Aug. 8, the company reported cash and cash equivalents of $1.4 million on June 30, compared to operating expenses of $2.9 million during the second quarter.
Resonant recorded revenue of $27,000 in the first quarter when two customers made upfront payments on two upcoming projects. The company also reported revenue of $63,000 in the second quarter after signing a second licensing agreement with an existing customer.
In July, the company also expanded a licensing agreement with an existing unnamed customer and bought Switzerland-based consulting and design company GVR Trade SA for $1.1 million.
The offering is the second Resonant has held this year. In July, the company also raised $6 million in an offering to various institutional and individual investors.
During the year, Resonant shares inched upward from $2.64 on Jan. 4 to $5.11 on Sept. 8. Shares responded positively to the news of the offering and shot up 71 cents to $5.83 per share as of 10:38 a.m. Sept. 9.
• Contact Philip Joens at [email protected]