Apollo Global leads debt investment in chipmaker Wolfspeed, media report

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A group of investors led by Apollo Global Management is making a debt investment between $1 billion to $2 billion in chipmaker Wolfspeed to support its expansion in the U.S., media outlets reported on Sunday.

The financing would make $1.25 billion of cash available immediately to Wolfspeed, while another $750 million could be drawn later, Bloomberg News reported.

The report added it was structured as seven-year secured notes carrying a coupon of 9.875% and can be paid back after three years.In September last year, Wolfspeed said it will in Chatham County, North Carolina, to make the raw materials used for chips that power things like electric vehicles as demand surges.Reporting by Chandni Shah in Bengaluru; Editing by Lisa Shumaker

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