HONG KONG/TAIPEI — Nvidia supplier Wistron Corp. is raising $1.47 billion through a global share sale after pricing the offering at $58.88 per depositary receipt, the Taiwanese server maker said in a stock exchange filing late on Monday.
Taiwanese tech firms are turning to international investors for fresh funding as global artificial intelligence (AI) spending lifts demand across the hardware supply chain, from servers to electronic components.
Wistron has approved extra spending to expand production capacity in Taiwan and opened a $700-million plant in Texas in July to manufacture Nvidia’s latest AI systems.
Wistron said in the filing that it would use the proceeds from the share sale to fund purchases of raw materials in foreign currencies.
Reuters reported earlier on Monday that Wistron was marketing 25 million global depositary receipts in a price range of $58.67 to $59.79 each. The final price was near the bottom of that range.
Wistron will issue 25 million global depositary receipts, representing 250 million common shares, according to the filing.
Each receipt represents 10 Wistron shares, translating to a price of about NT$186.24 ($5.91) per share, based on an exchange rate of NT$31.631 to the US dollar, the filing showed.
The offering price represents a discount of about 5.5 percent to Wistron’s Monday closing price of NT$197.
The new shares will dilute existing shareholders by about 7.29 percent, Wistron said in the filing, adding that it did not expect material dilution of shareholder interests.
Wistron said in August that AI server demand from cloud computing firms and business customers continued to exceed supply. Its second-quarter net profit rose 128 percent from a year earlier, while revenue climbed 64 percent.
Wistron’s shares closed 0.5 percent lower on Monday, but have climbed 30 percent year to date.
