With 733% gain, Nova looks to raise funds

Metrology company Nova Measuring Instruments yesterday filed a shelf prospectus with the SEC.

The share of metrology solutions provider Nova Measuring Instruments Ltd. (Nasdaq:NVMI; TASE:NVMI) has risen 733% year to date, becoming one of the hottest Israeli companies on Nasdaq. From a 52-week low point of $0.39, the share reached $4.83 yesterday, giving a market cap of $91 million.

Nova decided that now was the time to raise capital from the public. The company yesterday filed a shelf prospectus with the SEC, which when approved, will allow the company to raise up to $20 million in shares, debt securities, warrants, subscription rights or units, or any combination of these. A shelf prospectus allows a company to shorten the offering process, and it does not list underwriters for the offerings, if and when they are held.

Nova's management has been holding a road show in recent weeks across the length and breadth of the US to prepare the ground for the future offerings, which if held, will be in February-March 2010.

Nova's largest shareholder is IDB Holding Corp. Ltd. (TASE:IDBH) unit Clal Industries and Investments Ltd. (TASE: CII), with a 21.27% holding. The company's president and CEO is Gabi Seligsohn

Nova's share fell 2.9% at the opening on Nasdaq today to $4.69. The share rose 3.9% on the TASE to NIS 18.20.

Published by Globes [online], Israel business news - www.globes-online.com - on December 9, 2009

© Copyright of Globes Publisher Itonut (1983) Ltd. 2009

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