Monitor the company's use of proceeds and any subsequent announcements regarding capital allocation. The convertible structure introduces potential dilution if shares trade above $106.37, though capped calls limit the effective dilution up to $139.50. The zero-coupon nature reduces immediate cash interest burden.
Price Chart
Executive Summary
Amkor Technology issued $1.15 billion aggregate principal amount of 0.00% Convertible Senior Notes due 2031, including $150 million from the full exercise of the initial purchasers' option. The notes are guaranteed by subsidiaries that also guarantee the company's 5.875% senior notes due 2033. Concurrently, Amkor entered into capped call transactions costing approximately $56.4 million to reduce potential dilution or offset cash payments upon conversion, with an initial cap price of $139.50 per share. The conversion price is initially $106.37 per share, representing a premium over the stock price at pricing.
Key Financial Metrics
Key Facts
- Issued $1.15 billion of 0.00% Convertible Senior Notes due 2031
- Initial conversion rate of 9.4013 shares per $1,000 principal, conversion price ~$106.37
- Maximum potential dilution of 16,487,435 shares at adjusted conversion rate of 14.3369
- Capped call transactions cost ~$56.4 million, cap price initially $139.50
- Notes are senior unsecured obligations, guaranteed by certain subsidiaries
- No regular interest; special/additional interest may accrue up to 0.50% under certain conditions
- Notes redeemable by company on or after May 15, 2029, subject to stock price conditions
- Noteholders can require repurchase upon a Fundamental Change at 100% principal plus accrued interest
Financial Impact
$1.15 billion convertible note issuance with zero coupon, plus $56.4 million cost for capped call hedges
Risk Factors
- Potential dilution from conversion of notes if stock price appreciates above conversion price
- Increased leverage with $1.15B in new debt
- Capped call transactions may not fully offset dilution if stock price exceeds cap price
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001047127-26-000029 |
| Document: amkrmay2026ex101convertibl.htm | 0001047127-26-000029 |
| Document: amkr-20260430.htm | 0001047127-26-000029 |
| Document: 0001047127-26-000029-index-headers.html | 0001047127-26-000029 |
| Document: 0001047127-26-000029-index.html | 0001047127-26-000029 |
| Document: 0001047127-26-000029.txt | 0001047127-26-000029 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Aug 19, 2026 6w ago | Insider Cluster | $50.89 $47.95 | ▼ −5.78% | ▼ −3.83% | $56.08 (+10.20%) |
Aug 13, 2026 7w ago | Insider Cluster | $57.75 $51.73 | ▼ −10.42% | ▼ −8.68% | $56.08 (−2.89%) |
Aug 11, 2026 7w ago | Insider Cluster | $54.30 $51.35 | ▼ −5.43% | ▼ −4.37% | $56.08 (+3.28%) |
Aug 7, 2026 8w ago | Insider Cluster | $55.27 $47.77 | ▼ −13.57% | ▼ −13.17% | $56.08 (+1.47%) |
Aug 3, 2026 8w ago | Institutional Cluster | $50.84 $47.30 | ▼ −6.96% | ▼ −8.20% | $56.08 (+10.31%) |
Jul 27, 2026 9w ago | 8-K | $45.69 $48.70 | ▲ +6.59% | ▲ +3.21% | $56.08 (+22.74%) |
Jul 23, 2026 10w ago | Institutional Cluster | $65.33 $50.86 | ▼ −22.15% | ▼ −25.46% | $56.08 (−14.16%) |
Jul 20, 2026 10w ago | Insider Cluster | $62.56 $61.30 | ▼ −2.01% | ▼ −6.13% | $56.08 (−10.36%) |
Jul 20, 2026 10w ago | Insider Cluster | $62.56 $61.30 | ▼ −2.01% | ▼ −6.13% | $56.08 (−10.36%) |
May 21, 2026 19w ago | 8-K | $65.90 $93.63 | ▲ +42.07% | ▲ +41.74% | $56.08 (−14.90%) |
US Market Status
Subscribe to SecBot
Get Real-Time SEC Filing Intelligence
Comprehensive SEC filing analysis delivered the moment filings hit EDGAR. Sentiment scoring, impact analysis, and actionable insights for every material event.
Try SecBot Free Coming soon: SecBot Pro with alerts, watchlists, and API access