Silicon Motion Technology Corporation issued $1.15 billion in aggregate principal amount of 0.00% Convertible Senior Notes due 2031 on August 13, 2026. The offering included the full exercise of the underwriters' option to purchase an additional $150 million in notes. These senior, unsecured obligations mature on August 15, 2031, and do not bear regular interest or accrete in principal value. Holders may convert the notes prior to May 15, 2031 upon satisfying specified conditions, or at any time on or after that date until maturity. Settlement of conversion will be made in cash, American depositary shares representing four ordinary shares each, or a combination thereof, at the company's election. The net proceeds are intended for general corporate purposes and repayment of outstanding borrowings under a credit agreement with CTBC Bank Co., Ltd. Silicon Motion Technology Corporation operates in the semiconductor industry, specializing in flash memory controller solutions.
