GlobalWafers taps Micron for $500M convertible bond as nine-month EPS nears full-year 2025
What's the deal? Taiwan's GlobalWafersDealroom has a profile for this one. Try Dealroom → has secured approval to issue up to $500 million in private convertible bonds, with Micron Technology as the sole subscriber. The 10-year notes carry a 0.5% coupon and deepen a partnership the two firms announced in July 2026.
Why now? The bond advances the "strategic financing support" GlobalWafers and Micron flagged when they first teamed up. It pairs with a planned 10-year long-term supply agreement to back GlobalWafers' US business and advanced wafer capacity.
By the numbers: GlobalWafers posted third-quarter net profit of US$43.6M, or US$0.09 per share. Nine-month EPS reached US$0.43 — already close to the US$0.44 booked for all of 2025 — on revenue of US$1.28B, down 4.4% year on year.
The board also approved a first-half cash dividend of US$0.17 per share, totalling about US$91.7M, with payment set for January 22, 2027.
What's the endgame? GlobalWafers is building out manufacturing across Asia, the Americas, and Europe. Its Texas plant, GlobalWafers AmericaDealroom has a profile for this one. Try Dealroom →, has set record monthly shipments for four straight months, while its Missouri 12-inch SOI line hit a production high on demand for RF-SOI, silicon photonics, and power devices.
Chair Doris Hsu said the deal extends the relationship "from existing product supply to strategic capital cooperation and long-term supply chain positioning" (translated from Chinese).
What could go wrong? The convertible bond still needs shareholder approval before the board can execute it within a year. A fire at the company's 8-inch line in Italy already caused slight quarterly revenue fluctuation.
The signal: The round sits in the 90th percentile by size among all post-IPO convertible deals in Taiwan's energy sector. It reflects a wider shift in semiconductors, where customers increasingly back suppliers with long-term capital and supply deals rather than one-off purchasing — a pattern GlobalWafers is riding alongside its recent $1.432 billion GDR raise.
Read more: knews.com.tw
Image credit: Generated with Gemini
