Taiwan based electronics manufacturer Wistron Corp is raising about $1.47 billion through a global share sale to finance purchases of raw materials in foreign currencies. The fundraising comes as the company expands production capacity to meet strong demand for AI servers and related hardware.
Wistron Corp shares came under pressure after the Taiwanese electronics manufacturer announced a global share sale that is expected to raise approximately $1.47 billion, with the proceeds earmarked primarily for the purchase of raw materials in foreign currencies.
The company priced 25 million global depositary receipts (GDRs) at $58.88 each, with each GDR representing 10 Wistron common shares. The offering was priced near the lower end of the targeted range and will result in the issuance of 250 million new common shares.
The new shares are expected to dilute existing shareholders by about 7.29%, although Wistron said it does not expect the transaction to have a material impact on shareholders' interests. The dilution and the discounted pricing of the new securities weighed on investor sentiment following the announcement.
Wistron said the proceeds will support purchases of raw materials denominated in foreign currencies as it expands its manufacturing capacity. The company has been increasing investment to benefit from rising demand for artificial intelligence infrastructure, particularly AI servers and related computing equipment.
The expansion includes a $700 million manufacturing facility in Texas, which opened in July to produce Nvidia's latest AI systems. Wistron has also approved additional capital expenditure in Taiwan and the United States to support future AI-related business growth.
The fundraising comes as demand for AI hardware continues to support Taiwan's technology supply chain. Wistron's financial performance has also strengthened, with first-half 2026 revenue reaching NT$1.742 trillion, while net profit was NT$24.46 billion and earnings per share stood at NT$7.78.
Despite the immediate pressure on its shares following the fundraising announcement, Wistron's stock had gained about 30% since the beginning of the year, reflecting investor interest in companies positioned to benefit from the expansion of AI infrastructure.
The global share sale therefore provides Wistron with additional working capital to support its expanding production operations, while investors assess the impact of the new share issuance and associated dilution.
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