Touch-panel supplier TPK Holding Co (宸鴻) yesterday said it would issue another US$30 million in overseas convertible bonds amid strong demand, bringing its latest bond offering to US$230 million.
On Wednesday, the supplier of touch-screens for Apple Inc’s iPhone and iPad said it raised US$200 million from the sale of zero-interest, five year overseas convertible bonds, with an option to increase the offering by up to US$50 million.
The company said in an e-mailed statement that it maintained a conversion price of NT$452.68 (US$15.43) for the additional bond issuance, the same price as those sold on Wednesday.
It said it would start issuing the US$30 million in additional bonds on Monday and the potential share dilution is about 4.4 percent if investors exchange all the US$230 million five-year convertible bonds for company stock, which would have a limited impact on interest for shareholders, TPK said.
TPK shares fell 2.9 percent to NT$384.5 yesterday on the Taiwan Stock Exchange before the announcement of the additional bond issuance.
Together with the sale of US$236 million in global depositary receipt on Wednesday, TPK has secured US$466 million in its latest fund-raising drive, which it said it would use to expand manufacturing capacity, especially to ramp up output of one-glass solution touch panels, as well as to purchase equipment and raw materials abroad.