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Powerchip Semiconductor launches share offering to raise up to $890 million to fund machinery (updated)

UPDATE 1-Powerchip Semiconductor launches share offering to raise up to $890 million to fund machinery

Adds details from term sheet throughout

- Taiwan-based chipmaker Powerchip Semiconductor Manufacturing Corp 6770.TW has launched a global depositary share offering to raise up to around $890 million, according to a term sheet, with proceeds earmarked for machinery and equipment.

  • The company is offering up to 28 million GDS, with each share representing 15 ordinary shares, the term sheet showed.

  • The shares are being marketed at $31.23 to $31.90 per GDS, equivalent to about NT$65.78 to NT$67.20 a share. That represents a discount of 6% to 8% to Powerchip Semiconductor's Tuesday closing price of NT$71.50.

  • Powerchip Semiconductor did not immediately respond to an email seeking comment on Tuesday afternoon.


(Reporting by Yantoultra Ngui and Scott Murdoch; Editing by Jacqueline Wong)

((Yantoultra.Ngui@thomsonreuters.com;))

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