Infineon Technologies Raised Around EUR1 Billion to Partly Fund Cypress Acquisition

   By Mauro Orru 
 

Infineon Technologies AG said late Tuesday that it has raised about 1.06 billion euros ($1.16 billion) through a share placement to finance the equity portion of the acquisition of Cypress Semiconductor Corp.

The German chip maker said it placed 55 million new shares at a price of EUR19.30 a share, and that the order book for the placement was oversubscribed.

"Already last year we announced our intention to finance around 30% of the transaction value with equity. Following the first share placement and the issuance of the hybrid bond last year we have slightly surpassed this target now," Chief Financial Officer Sven Schneider said.

The announcement came on the same day that Infineon Technologies launched a cash capital increase with a target of approximately EUR1 billion to repay part of the loans Infineon entered into to finance the acquisition of Cypress Semiconductor Corp.

Write to Mauro Orru at [e-mail]; @MauroOrru94

(END) Dow Jones Newswires

May 27, 2020 01:42 ET (05:42 GMT)

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