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Ropes & Gray LLP is advising investors holding roughly $2.4 billion in convertible notes issued by Wolfspeed, Inc. (NYSE: WOLF), as the semiconductor company works its way through a prepackaged chapter 11 restructuring.
The court approved Wolfspeed’s Plan of Reorganization on September 8, clearing the way for the North Carolina-based company to exit bankruptcy in the coming weeks.
The plan will cut roughly 70% of Wolfspeed’s debt, strengthening its capital structure and supporting long-term growth. Convertible noteholders represented by Ropes & Gray will assume majority ownership and have committed to backstop $275 million in new second-lien convertible notes, providing the company with essential fresh capital during the restructuring.
In a statement, Wolfspeed CEO Robert Feurle described the confirmation as a turning point:
“We are pleased to reach this important milestone, which clears the path for us to complete our restructuring process in the coming weeks. We believe that strengthening our capital structure will help us to shape Wolfspeed into a leader in its industry, and we look forward to emerging with the financial flexibility to move swiftly on our strategic priorities and reinforce our leadership in silicon carbide."
"I would like to thank our talented team for their continued focus and hard work, our customers and vendors for their ongoing cooperation, and the lending group who supported our Plan of Reorganization.”
The restructuring has drawn in a broad roster of advisers. Wolfspeed is working with Latham & Watkins and Hunton Andrews Kurth as legal counsel, Perella Weinberg Partners as financial advisor, and FTI Consulting on restructuring. The convertible debtholders are advised by Ropes & Gray, with Ducera Partners as financial advisor.
Paul, Weiss, Rifkind, Wharton & Garrison and Moelis & Company represent the senior secured noteholders, while Renesas Electronics Corporation is advised by Kirkland & Ellis, PJT Partners, and BofA Securities.
Ropes & Gray’s team is led by business restructuring partners Ryan Preston Dahl and Matt Roose, supported by colleagues across finance, tax, M&A, employment, benefits, litigation, and enforcement practices.
Wolfspeed, Inc. is the global leader in silicon carbide semiconductors, supplying advanced materials and power devices for electric vehicles, renewable energy, and industrial applications. Headquartered in North Carolina, the company is a pure-play SiC pioneer driving the shift toward more efficient and sustainable power solutions.
Ropes & Gray is a global law firm providing comprehensive legal services to clients across a wide range of industries. With a reputation for excellence, the firm is known for its expertise in areas such as corporate law, private equity, M&A, intellectual property, litigation, regulatory matters, and finance.
