Wolfspeed filed for Chapter 11 bankruptcy to reduce its debt load by $4.6 billion amid continued uncertainty about whether it will receive CHIPS Act subsidies from the federal government.
The expected filing came Monday, with an announcement from the Durham-based chipmaker as its lawyers filed the case in a Houston, Texas, federal bankruptcy court.
Wolfspeed portrays the move as a financial clearing of the decks negotiated beforehand with its lenders. It should emerge “better positioned to move faster on our strategic priorities and maintain our position as a global leader in the silicon carbide market,” CEO Robert Feurle said…