Learn more about R&D chemical mechanical polishing by requesting our FREE informational CD.

Download our CMP White Paper

Class One Equipment


FREE subscription
Subscribe for free to receive each issue of Semiconductor Today magazine and weekly news brief.


12 September 2007


Rubicon files for $100m IPO

Rubicon Technology Inc, a vertically integrated manufacturer of monocrystalline sapphire material, wafers, and components for substrates and optical windows, has filed a registration statement with the US Security and Exchange Commission (SEC) for an initial public offering on NASDAQ, aiming to raise up to $100m. 

Founded in 2000, Rubicon has previously raised nearly $44m in venture capital funding since 2001 from firms including Cross Atlantic Capital Partners, Gazelle TechVentures, KB Partners and River Cities Capital Funds. The firm’s main product line is 2-4” sapphire wafers for LEDs and blue laser diodes. Also, it has developed 6” wafers for silicon-on-sapphire (SOS) RFICs, as well as products for military, aerospace, sensor and other applications. Rubicon says that it is also extending its technology to manufacture 8” and larger diameter products to support next-generation LED, RFIC and optical window applications.

Revenue has risen from $8.95m in first-half 2006 to $15.45m in first-half 2007 (about 81% from products for manufacturing LEDs; and about 79% for Asia, 19% for North America, and 2% for Europe). Order backlog has risen from $4.8m at the end of July 2006 to about $41.7m at the end of July 2007 (with about 70% to be filled after the end of the year).

Rubicon plans to use the proceeds of the IPO for paying off the outstanding $8.1m of a $16m loan and security agreement with Hercules Technology Growth Capital Inc agreed in April, as well as for working capital and other general corporate purposes. Due to ‘explosive’ growth in the LED market and increasing demand for large-diameter sapphire wafers, in May Rubicon announced plans to expand its manufacturing capacity (by 25% before Q1/2008 and by 40% before the end of 2008) through adding new equipment at its plant in Franklin Park, IL, and opening a new facility in Bensenville, IL (with 30,000 square feet of new production space complementing its existing operation of 80,000-plus square feet).

For the rest of 2007, Rubicon plans capital expenditures of about $7m, mainly to increase manufacturing infrastructure and capacity, then $12-17m in each of the next two years to support expected sales growth.

See related item:

LED market drives Rubicon to expand sapphire substrate capacity