Wolfspeed wins conditional 30-year loan commitment of up to $1.5 billion from US Department of War
WOLF•Wolfspeed received a conditional commitment for up to $1.5 billion in long-term financing from the US Department of War. The senior secured delayed-draw term loan would have a 30-year tenor and require warrants for up to 7.5% of fully diluted equity.
1. Conditional financing commitment
The financing remains subject to due diligence, definitive documents, government approvals, appropriations, closing conditions and third-party consents. Proceeds are targeted for US silicon carbide materials and wide bandgap power devices, including GaN epitaxy upgrades and radiation-hardening capabilities. Warrants would be issued pro rata as tranches fund, based on VWAP.
