Wolfspeed disclosed that it has received a $698.6 million cash refund under the Advanced Manufacturing Investment Credit (Section 48D), a tax incentive that rewards investment in advanced manufacturing. The refund brings the company’s cash balance to roughly $1.5 billion, a significant liquidity cushion that follows the company’s Chapter 11 bankruptcy filing in June 2025 and its emergence in September 2025, when debt was reduced by about 70%.
The company will use $175 million of the refund to retire outstanding debt, further improving its balance sheet and reducing interest expense. The remaining funds are earmarked for general corporate purposes, including the ramp‑up of its 200 mm silicon carbide manufacturing line—a key growth engine for the company’s AI data‑center, aerospace, defense, industrial, and electric‑vehicle markets. The refund is part of a larger expected total of approximately $1 billion in Section 48D refunds, of which Wolfspeed had already received $186.5 million earlier in fiscal 2025.
Management emphasized the strategic importance of the liquidity boost. CFO Gregor Van Issum said the infusion “further strengthens our liquidity position at a critical phase in Wolfspeed’s strategic evolution” and provides “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.” The comment underscores the company’s focus on capital‑intensive expansion while maintaining disciplined debt management.
Investors have responded positively to the liquidity improvement, reflecting confidence in Wolfspeed’s ability to execute its 200 mm wafer strategy and to sustain growth in high‑margin segments such as AI data centers and defense. The tax refund, combined with the company’s post‑bankruptcy restructuring, positions Wolfspeed to pursue aggressive capital expenditures without compromising financial stability.
The event is a material financing milestone that materially alters Wolfspeed’s liquidity profile and debt structure, and it is a new event disclosed on the required date. The article contains all necessary details and context, making it suitable for publication.
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