After several semiconductor manufacturers like Taiwan Semiconductors and Micron have pledged billions in expanding their operations in the United States, it is surprising to see one of them go bankrupt. Wolfspeed, a North Carolina manufacturer of semiconductors for electric vehicles, said it had struck a deal with creditors to reduce its near $6.5 billion debt by more than two-thirds as a part of a bankruptcy package.
The company had for months been trying to decide whether to seek a short-term fix to resolve a $575 million convertible bond payment set for next year, or undertake a comprehensive restructuring to slash its overall debt.
“After evaluating potential options to strengthen our balance sheet and right-size our…