Shares of Taiwan’s Wistron Corporation dropped more than 6% on Tuesday after the Nvidia supplier priced a $1.47 billion global depositary receipt offering, according to a company filing. The move is aimed at funding raw material purchases in foreign currencies as the company expands its AI server business.
Wistron priced 25 million global depositary receipts at $58.88 each, representing 250 million new common shares. The receipts were priced at roughly NT$186.24 per share — about a 5.5% discount to Wistron’s Monday closing price of NT$197, according to the filing.
The new shares represent about 7.29% of Wistron’s outstanding shares before the issuance. The company said the offering is expected to be issued on Thursday, with proceeds dedicated to purchasing raw materials in foreign currencies.
AI server expansion drives fundraising
The capital raise comes as Wistron scales up its artificial intelligence server operations. Last month, the company approved additional capacity investments in both Taiwan and the U.S., including NT$10.5 billion in extra capital expenditure for facilities in Taiwan, plus a combined $53 million for two U.S. subsidiaries to support future AI business growth.
In July, Wistron opened its first U.S. manufacturing facility — a $700 million AI server plant in Fort Worth, Texas. The facility currently produces Nvidia’s GB300 Grace Blackwell Ultra systems and is expected to expand production to Nvidia’s next-generation Vera Rubin platform, according to the company.
Despite Tuesday’s decline, Wistron’s shares are up about 23% so far this year.
Financials show continued growth
For the second quarter, Wistron reported revenue of NT$895.4 billion and profit after tax of NT$14.8 billion.
The stock sale is the latest example of AI hardware suppliers raising capital to keep pace with surging demand from hyperscale customers, with Wistron positioned as a key contract manufacturer in Nvidia’s AI server supply chain.
Source: www.cnbc.com — https://www.cnbc.com/2026/09/08/nvidia-supplier-wistron-share-sale.html
This article is for informational purposes only and does not constitute financial, investment, tax, or legal advice. Do your own research and consult a licensed professional before making financial decisions.
