RealD Goes Public on Nasdaq

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RealD (RLD), the licenser of 3-D technology to motion picture exhibitors, is ready to take on a new dimension as a public company, with its IPO on Nasdaq set for this week.

RealD shares are expected to sell from about $13 to $15. Stock will trade under the ticker RLD after the IPO.

The technology company hopes to offer 10.75 million shares to the public, and it expects to raise $151 million.

It plans to use some of the proceeds to pay off some debt and to keep for future investments.

The IPO could bode well for other 3-D offerings, but RealD is not without its problems.

Though it has seen huge growth in revenue, it has yet to turn a profit. In its latest fiscal year it lost $51.2 million on $189 million in sales.

RealD licenses its RealD Cinema Systems to companies that show 3D pictures, but also provides active and passive eyewear, and display and gaming technologies to consumer electronics makers and content producers and distributors.

On Tuesday, in fact, RealD signed a licensing agreement with Marchon Eyewear to use the RealD brand of glasses for sales of Marchon3D eyewear.

Marchon will distribute its RealD-compatible 3D glasses in cinemas, retail locations, e-commerce sites and through electronic equipment makers worldwide.

Marchon3D’s parent, Marchon Eyewear, is one of the largest makers and distributors of eyewear. The parent will market designer 3D eyewear and a prescription 3D lens directly to eye care professionals. Its network encompasses 100 countries.

As of this writing, Wayne Faulkner did not own a position in any of the stocks named here.


Article printed from InvestorPlace Media, https://investorplace.com/2010/07/reald-goes-public-nasdaq/.

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