Taiwanese electronics manufacturer Wistron Corp is aiming to raise up to $923 million through the sale of global depository shares (GDS), according to a term sheet reviewed by Reuters. The GDS will be listed in Luxembourg, and trading is scheduled to begin on June 16.
Wistron, a key supplier to Nvidia, plans to issue up to 250 million depository shares priced between $36.20 and $36.93 each. This pricing represents a 4% to 6% discount compared to Wistron’s closing stock price of NT$115 ($3.85) on Thursday.
The company has not issued a public statement regarding the offering as of now. According to the term sheet, proceeds from the share sale will primarily be used to purchase raw materials denominated in foreign currencies—reflecting Wistron’s strategy to better manage currency risks tied to its international supply chain operations.
Expanding U.S. Presence for AI and High-Performance Computing
Wistron’s fundraising comes as it expands its operations to meet surging demand in the high-performance computing and AI sectors. Last month, the company announced that its new U.S. manufacturing facilities—being prepared for customer Nvidia—are expected to be operational next year. The facilities will focus on producing AI-related hardware and high-performance computing products.
The move aligns with Nvidia’s rapid growth in AI-driven technologies, as well as a broader industry shift toward more diversified and localized manufacturing capabilities, particularly in response to global supply chain disruptions.
Additionally, Wistron disclosed that it is actively engaged in discussions with other potential customers to expand its client base in these rapidly growing technology sectors.
Strategic Capital Raising Amid Currency Volatility
By raising funds through the GDS offering in Luxembourg, Wistron is diversifying its capital sources while also mitigating currency fluctuation risks. The global nature of its customer and supplier relationships makes access to foreign currency-denominated funds increasingly critical.
The GDS structure also allows Wistron to tap into a broader pool of international investors, while enhancing its financial flexibility to support ongoing expansion efforts in both manufacturing capacity and technological innovation.