Wolfspeed will say that it will be bankrupt and the debtor will take over the stock price crash

Silicon carbide (SiC) material leader Wolfspeed, Inc., announced that it would break the industry and was taken over by a debtor led by Apollo Global Management, and the share price should collapse. Reuters and Seeking Alpha quoted foreign media rep...


Silicon carbide (SiC) material leader Wolfspeed, Inc., announced that it would break the industry and was taken over by a debtor led by Apollo Global Management, and the share price should collapse.

Reuters and Seeking Alpha quoted foreign media reports on the 18th. Sources revealed that debtors such as Apollo will take over Wolfspeed and plan to enter the breaking process in a short time, which is only enough to reduce the debt of billions of dollars.

According to reports, Wolfspeed will soon announce an agreement with the debtor to carry out pre-packaged bankruptcy operations, and will require the debtor to vote for the proposal after signing the reorganization support agreement.

Although the shareholders' holdings usually reach zero when a company breaks down, this time it is rare, and shareholders are expected to recover up to 5% of their holdings in this restructuring plan.

In the pre-packaged bankruptcy plan, the company and its debtors will reach a common understanding of the reorganization plan in advance before bankruptcy, and the debtors will even make statements on the plan.

According to the documents submitted by the company to the supervisory authority in May, Wolfspeed had about $1.33 billion of unrestricted cash, about $6.5 billion of unrestricted cash, about $6.5 billion of short-term investment positions as of the end of March.

Wolfspeed ended up falling 30.14% on the 18th and closed at $0.8732; it has fallen 86.89% so far this year.

Extended reading: Silicon Carbide Wolfspeed will send a sound to break the production Taiwan link welcomes the order Is the debt heavy pressure difficult to solve? Silicon Carbide Round Dragon Wolfspeed is exploded and will be destroyed. Wolfspeed Financial Report, May Be Heading to Clearing? Stock price collapsed 25%

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