March 19 (Reuters) - Chip firm Astera Labs on Tuesday set the pricing of its initial public offering (IPO)

of 19.8 million shares at $36 apiece, aiming to raise around

$712.8 million.

The company priced its IPO above its previous target range

of $32 to $34 apiece, giving it a valuation of about $5.5

billion based on the outstanding shares listed in its filings

with the U.S. Securities and Exchange Commission.

The company's shares are expected to begin trading on Nasdaq

Global Select Market under the the ticker symbol "ALAB" on March

20, Astera Labs said.

The listing comes at a time when growing popularity of AI

and its influence across various sectors has been driving a

rally in technology firms, propelling stocks of companies such

as Nvidia ( NVDA ) to record highs.

The gross proceeds are expected to be around $604.4 million,

Astera Labs said in a statement.

The California-based company offers vital data center

components to its customers including large cloud service

providers. It was valued at $3 billion in its last funding round

in 2022.

Morgan Stanley and J.P. Morgan are the joint book runners

for the offering.