Wistron sets $1.47 billion GDR offering to fund foreign-currency materials

  • Wistron priced 25 million GDRs at $58.88 each to fund foreign-currency raw-material purchases.
  • The offering raises approximately $1.47 billion and represents 250 million new shares, or 7.29% of pre-issue shares.
  • Wistron fell more than 5% to 6% as Taiwan stocks consolidated after the previous session's 775.14-point rally.

Wistron priced 25 million global depositary receipts at $58.88 each, raising approximately $1.47 billion to purchase raw materials denominated in foreign currencies as it expands AI server production. Each GDR represents 10 common shares, or 250 million new shares in total, equal to 7.29% of shares outstanding before issuance and expected to be issued Thursday. The price implies about NT$186.24 per common share, a 5.5% discount to Wistron's NT$197 close on Monday and the 7th, and Wistron shares fell more than 5% to 6% on the 8th after the announcement. The offering came as Taiwan's Weighted Index swung more than 450 points following a 775.14-point rally, with TSMC supporting the market while other large-cap technology stocks weakened. Wistron has approved NT$10.5 billion in additional Taiwan capital expenditure and $53 million for two U.S. subsidiaries, following the July opening of its $700 million Fort Worth AI server factory. The plant produces Nvidia's GB300 Grace Blackwell Ultra systems and is expected to add the Vera Rubin platform; second-quarter revenue was NT$895.4 billion and profit after tax was NT$14.8 billion.

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