VA Linux Systems to raise $70 million

VA Linux Systems has joined the growing band of Linux companies to file for an IPO.

The provider of Linux-based systems and software filed on 8 October with the Securities and Exchange Commission to raise about $70 million.

VA Linux, which has applied to list its shares on Nasdaq under the symbol LNUX, follows in the wake of Red Hat and LinuxOne.

The company, based in Sunnyvale, California, is prominent in the Linux community for its work on the Trillian project - to port Linux to Intel's 64bit architecture.

VA Linux said it planned to use net proceeds for general corporate purposes including expanding sales and marketing activities and capital spending.

It did not disclose how many of its shares it plans to sell or the projected price range for the IPO in its preliminary filing.

The filing revealed the company had revenue of $17.7 million and a net loss of $14.5 million in the year ended 31 July.

Credit Suisse First Boston will act as the lead underwriter of the operation. Other underwriters include Deutsche Banc Alex.Brown, Hambrecht & Quist and Lehman Brothers.