United Microelectronics (UMC) approved its seventh series of unsecured overseas convertible bonds.
The company aims to raise up to $1.8 billion through the offering.
The bonds carry a 0% coupon rate with a five-year maturity.
Proceeds will fund the purchase of machinery, equipment, and facilities.
The investment targets an expansion of UMC’s manufacturing capacity.
Bondholders may exchange the debt for company stock under the convertible terms.
This feature introduces potential equity dilution for current shareholders.