According to a resolution approved by its board of directors, TSMC will issue a total of NT$21.1 billion (US$743.2 million) in unsecured bonds to finance new facility establishment and equipment purchases, likely including an expected $12 billion U.S. chip fab in Arizona.
The NT$21.1 billion bonds will be comprised of a five-year tranche of NT$4.8 billion with a coupon rate of 0.5%, a seven-year tranche of NT$11.4 billion with a 0.55% coupon and a 10-year tranche of NT$4.9 billion with 0.6%, TSMC disclosed in a company filing with the Taiwan Stock Exchange (TWSE).
TSMC in February unveiled plans to issue up to NT$120 billion in unsecured bonds in Taiwan, and act as a guarantor to TSMC Global for the wholly-owned subsidiary’s issuance of US dollar-denominated senior unsecured corporate bonds of up to US$4.5 billion. The proceeds will be used to finance TSMC’s capacity expansion and/or pollution prevention related expenditures.
MacDailyNews Take: In January, TSMC executives reiterated that construction on a planned $12 billion plant in Arizona will begin this year. TSMC’s Arizona chip fab will be completed by 2024, with initial target output of 20,000 wafers per month, though the company envisions having a “mega scale production site” over the long term, Chairman Mark Liu added.
America leads the world in technology.
I don’t have an opinion, I’m just asking… How did this article prompt your comment when TSMC are Taiwanese?
Sarcasm.
Nice try, but I don’t believe you for a nanosecond. You would have used the /s sarcasm tag. You got caught with yet another clueless comment…
You’re right, of course.
Apple chips made by TSMC are American owned with US Technology. Doesn’t matter who makes it. American technology made in America is all about US. Thanks for your comment
That should cover the first year air conditioning bill.
With net metering, a solar roof would power the Fab and half the houses in the neighborhood. Long term, AZ may be cheaper than humid states that need factories with substantial capacity in both heating and cooling systems.
The real problem in AZ is adequate water; there isn’t enough for continuous population growth.