{"id":326966,"date":"2025-12-02T23:53:11","date_gmt":"2025-12-02T23:53:11","guid":{"rendered":"https:\/\/www.newsbeep.com\/us\/326966\/"},"modified":"2025-12-02T23:53:11","modified_gmt":"2025-12-02T23:53:11","slug":"wolfspeed-gets-nearly-700-million-in-chips-act-refunds","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us\/326966\/","title":{"rendered":"Wolfspeed gets nearly $700 million in CHIPS Act refunds"},"content":{"rendered":"<p>Durham-based chipmaker Wolfspeed says it\u2019s received $698.6 million in federal tax refunds <a href=\"https:\/\/www.irs.gov\/credits-deductions\/advanced-manufacturing-investment-credit?utm_source=NC+Tribune+subscribers&amp;utm_campaign=0c3518ceca-EMAIL_CAMPAIGN_2025_12_02_08_59&amp;utm_medium=email&amp;utm_term=0_-0c3518ceca-\" rel=\"nofollow noopener\" target=\"_blank\">authorized<\/a> by the CHIPS Act, in an SEC <a href=\"https:\/\/www.sec.gov\/Archives\/edgar\/data\/895419\/000089541925000134\/wolfspeed-20251201.htm\" rel=\"nofollow noopener\" target=\"_blank\">filing<\/a>.<\/p>\n<p>The advanced manufacturing investment tax credit follows $186.5 million in refunds that came the company\u2019s way in its 2024-25 fiscal year.<\/p>\n<p>Wolfspeed officials say the latest refund bolstered the company\u2019s cash balance, leaving it at around $1.5 billion.<\/p>\n<p>\u201cThis substantial cash infusion further strengthens our liquidity position at a critical phase in Wolfspeed\u2019s strategic evolution,\u201d CFO Gregor Van Issum said. \u201cIt provides us with the financial agility to support long-term growth, manage our capital structure responsibly, and continue driving innovation across the silicon carbide value chain for our customers.\u201d<\/p>\n<p>The company went through a Chapter 11 bankruptcy reorganization earlier this year, undertaken in cooperation with its major creditors.\u00a0<\/p>\n<p>As part of the deal, it\u2019ll apply $192.2 million of the refund toward retiring about $175 million in debt.<\/p>\n<p>Wolfspeed\u2019s most recent <a href=\"https:\/\/s29.q4cdn.com\/278875087\/files\/doc_financials\/2026\/q1\/b9b59619-bd9b-448c-9d07-ea657f5c4d09.pdf?utm_source=NC+Tribune+subscribers&amp;utm_campaign=0c3518ceca-EMAIL_CAMPAIGN_2025_12_02_08_59&amp;utm_medium=email&amp;utm_term=0_-0c3518ceca-\" rel=\"nofollow noopener\" target=\"_blank\">quarterly report<\/a>, issued in late October, said it had $571.6 million in cash and cash equivalents as of Sept. 28.\u00a0<\/p>\n<p>It reported a net loss of $643.6 million for the quarter net of operation costs interest and taxes.<\/p>\n<p>The company has factories in Durham, Siler City and in upstate New York. It\u2019s run into considerable headwinds in getting full use of its state-of-the-art chip fab in New York and its Siler City wafer plant. Chatham\u2019s $5 billion facility in Chatham County is supposed to employ 1,800 people by 2030.<\/p>\n<p>Wolfspeed told investors and the SEC that it expects to \u201cincur underutilization costs related to\u201d both facilities \u201cuntil market demand for our products meets or exceeds our production capacity.\u201d<\/p>\n<p>Wolfspeed\u2019s chips have an array of uses in high-power systems, most notably in the <a href=\"https:\/\/www.wolfspeed.com\/applications\/power\/automotive\/?utm_source=NC+Tribune+subscribers&amp;utm_campaign=0c3518ceca-EMAIL_CAMPAIGN_2025_12_02_08_59&amp;utm_medium=email&amp;utm_term=0_-0c3518ceca-#applications\" rel=\"nofollow noopener\" target=\"_blank\">EV industry<\/a>.<\/p>\n<p>Wolfspeed shares increased around 9% on Monday from Friday\u2019s close. On Tuesday, shares dropped around 3.4% and closed at $21.36. Share have traded as high as $36.60 as recently as Oct. 9.<\/p>\n<p>\u00a0<\/p>\n<p><a class=\"m-a-box-avatar-url\" href=\"https:\/\/businessnc.com\/author\/rgronberg\/\" rel=\"nofollow noopener\" target=\"_blank\"><img loading=\"lazy\" decoding=\"async\" alt=\"\" src=\"data:image\/svg+xml,%3Csvg%20xmlns=\" http:=\"\" data-lazy- class=\"avatar avatar-100 photo\" height=\"100\" width=\"100\" itemprop=\"image\" data-lazy-src=\"https:\/\/www.newsbeep.com\/us\/wp-content\/uploads\/2025\/12\/4ebc0661c81dd9e3452f0ca1c915de47\"\/><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"Durham-based chipmaker Wolfspeed says it\u2019s received $698.6 million in federal tax refunds authorized by the CHIPS Act, in&hellip;\n","protected":false},"author":2,"featured_media":326967,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[4,450,451,3,452,453],"class_list":{"0":"post-326966","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-breaking-news","8":"tag-breaking-news","9":"tag-breakingnews","10":"tag-headlines","11":"tag-news","12":"tag-top-stories","13":"tag-topstories"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/326966","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=326966"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/326966\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/326967"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=326966"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=326966"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=326966"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}