AXT Inc. (NASDAQ: AXTI) announced it intends to offer and sell shares of common stock in a public offering. The compound semiconductor wafer substrate manufacturer also expects to grant underwriters a 30-day option to purchase up to an additional 15% of the shares offered at the public offering price, less underwriting discounts.

The offering is subject to market and other conditions, and there can be no assurance as to whether or when the offering may be completed, or as to the actual size or terms of the offering, according to the company's statement.

AXT said it intends to use the net proceeds primarily to financially support its subsidiary Beijing Tongmei Xtal Technology Co., Ltd. in efforts to increase capacity to produce indium phosphide substrates for export worldwide. Additional funds will support research and development of new or improved products, working capital and general corporate purposes.

Northland Capital Markets is acting as sole bookrunner for the offering. Needham & Company, B. Riley Securities Inc., Craig-Hallum Capital Group LLC and Wedbush Securities Inc. are serving as co-managers.

The company filed an effective shelf registration statement on Form S-3ASR with the Securities and Exchange Commission on April 20, 2026. A preliminary prospectus supplement and accompanying prospectus relating to the offering has been filed with the SEC.

AXT develops and manufactures compound and single element semiconductor substrate wafers comprising indium phosphide, gallium arsenide and germanium. The company's substrates serve end markets including 5G infrastructure, data center connectivity, passive optical networks, LED lighting, lasers, sensors, power amplifiers for wireless devices and satellite solar cells.