AXT said April 20 that it plans to sell shares of common stock in a public offering and may give underwriters a 30-day option to buy up to an additional 15% of the shares sold.
The company said it intends to use the proceeds mainly to support its subsidiary, Beijing Tongmei Xtal Technology Co., Ltd., as it tries to expand capacity for indium phosphide substrates for export worldwide. AXT also said the money would go toward research and development, working capital and general corporate purposes.
Northland Capital Markets is serving as sole bookrunner. Needham & Company, B. Riley Securities, Craig-Hallum Capital Group and Wedbush Securities are co-managers.
AXT filed an effective shelf registration statement on Form S-3ASR on April 20, 2026, and a preliminary prospectus supplement has already been filed. The company said the final size and terms of the offering have not yet been set.
AXT makes compound and single-element semiconductor substrate wafers, including indium phosphide, gallium arsenide and germanium. Its products are used in applications such as 5G infrastructure, data center connectivity, passive optical networks, LED lighting, lasers, sensors, power amplifiers and satellite solar cells. As a result of these announcements, the company's shares have moved -13.12% on the market, and are now trading at a price of $58.51. For the full picture, make sure to review AXT INC's 8-K report.
