Wistron Shares Drop Over 6% After $1.47 Billion GDR Sale at 5.5% Discount
Updated
Updated · CNBC · Sep 8
Wistron Shares Drop Over 6% After $1.47 Billion GDR Sale at 5.5% Discount
3 articles · Updated · CNBC · Sep 8
Summary
Wistron shares fell more than 6% Tuesday after the Taiwan-based Nvidia supplier priced 25 million global depositary receipts at $58.88 each, raising about $1.47 billion.
The offering equals 250 million new common shares priced at roughly NT$186.24 each, a 5.5% discount to Monday's NT$197 close and about 7.29% of pre-issue shares.
Thursday's expected issuance will fund raw-material purchases in foreign currencies, giving Wistron more working capital as it scales AI server production.
That expansion already includes NT$10.5 billion for Taiwan facilities and $53 million for two U.S. subsidiaries, after Wistron opened a $700 million AI server plant in Texas in July.
The fundraising follows strong momentum in the business: Wistron shares were still up about 23% this year, and second-quarter revenue reached NT$895.4 billion with NT$14.8 billion in profit.