Valence Public Offering Is a Possibility

SRS Labs Inc. in Santa Ana said Wednesday that its Valence Technology Inc. subsidiary is seeking an undisclosed amount of financing in Asia, which could lead to a public offering of the Hong Kong unit.

SRS acquired Valence in March, 1998, for $19.5 million in cash and stock, to give the parent company access to new markets in China, particularly for video CD machines used as sing-along karaoke machines. SRS specializes in digital audio technology.