Agere Systems Halves Planned IPO
Lucent Technologies' (Murray Hill, NJ) Agere Systems (Allentown, PA) cut its planned initial public offering of common stocks in half, from $12 to $14 down to $6 to $7 per share. Gross proceeds have shrunk from $8.05 billion on March 7, 2001, to $4.83 billion. The number of shares Agere will be offering in the deal has been raised to 600 million, from 300 million. The expected net proceeds from the IPO stay the same at $3.75 billion after the changes.
Lucent, which was to sell 200 million Agere shares in the IPO, will now sell none. However, Lucent is making 90 million shares available as an underwriters' over-allotment, up from 75 million as planned earlier. Agere will be selling no shares as part of the over-allotment.