Universal Display Raising Capital (PANL)

The offering is to be led by Goldman Sachs as book-running manager; UBS is the joint lead-manager; and co-managers are Canaccord Genuity, Cowen & Co, Needham & Company, Oppenheimer & Co., Avian Securities, Davenport & Co., and Fagenson & Co. These underwriters are also being given an option to purchase up to 750,000 additional shares of common stock for overallotments.

The good news about this offering is that the shares are being sold by the company and for the company.  The ‘use of proceeds’ will be for general corporate purposes, which Universal Display said could include acquisitions, development and license of properties, assets, entities or technologies.

The proceeds would come to north of $425 million today against a market cap of almost $1.8 billion.  The prior balance of cash and short-term securities was only about $73 million at the end of 2010. and this comes after a monumental rise in its shares over the last year.

Shares are indicated only down 1.5% at $45.87 and its 52-week trading range is $11.50 to $49.85. 

JON C. OGG