Latham & Watkins advised the publicly traded, leading semiconductor technology company Wolfspeed, Inc. in two financing transactions that recently closed and total up to US$4 billion, representing one of the largest private capital fundings, largest direct lending transactions, and largest growth financings of 2023.
On July 5, 2023, Latham advised Wolfspeed on a bespoke up to US$2 billion unsecured customer deposit facility with an affiliate of Renesas Electronics Inc., a leading Japanese semiconductor company, in connection with a long-term supply agreement, which was entered into on the same day with Renesas and pursuant to which Wolfspeed will supply Renesas with certain wafer technologies.
On June 23, 2023, Latham advised Wolfspeed in an up to US$2 billion senior secured note financing with a group of private investors led by Apollo Global Management. US$1.25 billion was made available to the company at closing, with an accordion feature for the remaining US$750 million. The financing supports Wolfspeed’s previously announced growth plans and is a significant step toward achieving Wolfspeed’s US$6.5 billion global capacity expansion.
Latham & Watkins LLP advised Wolfspeed in both transactions with a finance team led by partners Haim Zaltzman, Elizabeth Oh, and Ken Askin, with associates Ben Gelfand, Erin Cusenbary, and Axel Magnusson. Advice was also provided on corporate matters by partners Tad Freese and Brian Paulson, with associate Ryan Gold; on tax matters by partner Grace Lee, with associates Jake Meninga and Rasha Suleiman; on real estate matters by partner Dara Denberg, with associate Lauren Mastronardi; on environmental matters by counsel David Langer; on benefits matters by partner Jay Metz, with associate Niveda Anandan; and on CFIUS/sanctions matters by partners Les Carnegie, Damara Chambers, and Kyle Jefcoat and counsel Catherine Hein.