Powerchip Semiconductor Prices $833 Million GDR; Shares Slump 10%
Powerchip Semiconductor Manufacturing (TPE:6770) priced its global depositary receipt (GDR) offering at $31.70 each for a total offering size of about $832.8 million, according to a Tuesday Taiwan Exchange filing.The offering comprises about 26.3 million GDRs, with each GDR representing 15 common shares.The capital-raising plan includes about 420 million new common shares, comprising shares underlying the GDR offering and shares reserved for employee subscription.The issue is part of a capital-raising plan to fund equipment purchases and foreign currency needs.The shares will be listed on the Luxembourg Stock Exchange, with issuance scheduled for June 12.Proceeds will be used mainly to purchase machinery and equipment and support materials in foreign currencies, the chip manufacturer said.Shares fell nearly 10% in Wednesday's afternoon trade.