All articles tagged with #wolfspeed
Wolfspeed emerged from Chapter 11 with significantly reduced debt and a new board, but shareholders faced an 85% loss in value due to massive stock dilution; the company is focusing on AI, EV, and energy markets with new manufacturing investments and government support to drive a turnaround.
Wolfspeed has successfully exited Chapter 11 bankruptcy after reducing its debt by 70% and lowering interest expenses, with its stock rising 26% following the news. The company maintains strong liquidity and has issued new shares, diluting existing shareholders, as it continues to focus on its silicon carbide chip business and operational stability.
Wolfspeed, a silicon carbide semiconductor company, successfully exited Chapter 11 bankruptcy, leading to a significant stock increase driven by retail traders on Reddit, as the company reduced debt and positioned for growth with a US-based supply chain.
Wolfspeed's shares surged over 1,700% to nearly $21 after completing a major restructuring and share swap related to its bankruptcy, significantly reducing its share float and aiming to strengthen its position in silicon carbide technology and U.S. chip manufacturing.
Stock markets declined as investors focused on U.S. legislative developments and global trade talks, with notable movements including Tesla's 6.4% drop amid CEO criticism of tax bills, Robinhood's 3.5% rise following new crypto offerings, Coinbase's 2.9% decline, Wolfspeed's 76% surge after bankruptcy restructuring, and Planet Labs' 15% increase due to a major government contract.
Wolfspeed's shares surged over 85% after announcing a Chapter 11 bankruptcy filing to reduce $4.6 billion in debt through a creditor-backed reorganization, with plans to emerge from bankruptcy by the end of Q3, boosting market confidence in its future growth prospects.
Wolfspeed, a promising EV semiconductor company specializing in silicon-carbide chips, has filed for bankruptcy after facing declining demand, financial struggles, and failed expansion plans, leading to a significant stock decline and a major debt reduction plan to restructure and stabilize the company.
Wolfspeed's stock dropped 21% after announcing plans to file for bankruptcy as part of a restructuring to cut debt by 70% and reduce interest payments, aiming to emerge by late 2025 while continuing operations, with key stakeholder Renesas Electronics converting deposits into equity.
Wolfspeed, a North Carolina semiconductor manufacturer for electric vehicles, plans to file for bankruptcy after restructuring its $6.5 billion debt, which will nearly wipe out shareholders, and aims to emerge as a new company by 2025, amid challenges from reduced government support and high borrowing costs.
Several stocks are making significant moves in after-hours trading, including Align Technology, Qualcomm, and Wolfspeed. The market activity suggests potential shifts in the stock prices of these companies.
Cisco Systems' shares rose 2.5% after the company reported better-than-expected fiscal fourth-quarter earnings, with adjusted earnings per share of $1.14 and revenue of $15.2 billion. Electronic design automation company Synopsys saw its stock rise 2.3% after beating earnings expectations, reporting adjusted earnings per share of $2.88 and revenue of $1.49 billion. However, Wolfspeed's shares plunged 13% after the company's fiscal fourth-quarter earnings missed expectations, with an adjusted loss of 42 cents per share. Packaging company Amcor's stock gained 2.5% after reporting adjusted earnings per share of $0.19, beating analysts' forecasts, although its revenue fell short. Hawaiian Electric's shares slipped nearly 2% amid concerns about potential liability in the Maui wildfires, while Vietnamese electric vehicle maker VinFast Auto saw its shares dip about 5% after a significant surge the previous day.
Wolfspeed's stock is experiencing a surge after the company secured a 10-year deal to supply Renesas Electronics with silicon carbide bare and epitaxial wafers, marking a significant development in the chip industry.
Semiconductor company Wolfspeed has secured a 10-year contract with Renesas Electronics, receiving a $2 billion cash infusion. The deal involves the production of chips using silicon carbide technology at a semiconductor plant in Chatham County. Wolfspeed's shares soared 15% following the announcement. Renesas will use the chips in various industries, including automotive and industrial sectors. The agreement strengthens Wolfspeed's position in the growing silicon carbide market.
Renesas Electronics Corporation and Wolfspeed have signed a 10-year wafer supply agreement, with Renesas depositing $2 billion to secure a supply commitment of silicon carbide wafers from Wolfspeed. The agreement supports the adoption of silicon carbide in automotive, industrial, and energy markets and reinforces Renesas' commitment to boost its power semiconductor roadmap. The supply of high-quality silicon carbide wafers will enable Renesas to scale production of silicon carbide power semiconductors starting in 2025. Silicon carbide devices offer higher energy efficiency, greater power density, and lower system costs compared to conventional silicon power semiconductors.
Apollo Global Management is leading a group of investors in a more than $1 billion debt investment in semiconductor maker Wolfspeed, which could be announced in the coming days. The deal would be one of the largest direct lending deals of the year and would give Apollo exposure to a key provider of chips for electric vehicles.