Advantest's (TYO:6857) board has approved the issuance of 100 billion yen in zero-coupon convertible bonds due 2031, aimed at funding growth investments amid rising AI-driven semiconductor demand, according to a Tokyo bourse filing on Wednesday.
The manufacturer of automatic test equipment plans to allocate approximately 50 billion yen to expand semiconductor tester production capacity by March 2029, 20 billion yen to strategically secure inventory by March 2027, and 30 billion yen to accelerate development of next-generation testing solutions by March 2028.
By issuing zero-coupon bonds with a conversion price set above current market levels, Advantest aims to limit shareholder dilution while diversifying its funding sources and controlling financing costs. the filing read.
The bonds are scheduled to close on April 20, 2026, with redemption at par upon maturity in 2031.
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