Nvidia's partner Wistron raised $1.47 billion by selling shares

Taiwan's Wistron has raised $1.47 billion through a share sale. One of Nvidia's key suppliers will use the proceeds to expand production of servers needed for artificial intelligence.

The company sold 25 million global depositary receipts, each corresponding to ten ordinary Wistron shares. The proceeds will be used to purchase raw materials in foreign currency.

As demand for AI hardware grows, Taiwanese manufacturers are expanding production and seeking additional funding to do so. In July, Wistron opened a $700 million factory in Texas, where it began producing Nvidia's new AI systems.

The company's net profit rose 128% in the second quarter compared to the same period last year, while revenue grew 64%. According to Wistron, demand for AI servers is so high that the company is not yet able to fulfill all orders.

Source: Reuters