Strategic Capital-Raising in a High-Growth Semiconductor Market: Sivers Semiconductors' Dual Share Issues

In the rapidly evolving semiconductor industry, where capital intensity and technological disruption define competitive advantage, Sivers Semiconductors has emerged as a strategic actor. The company's recent dual directed share issues—raising SEK 108 million in 2025 and planning an additional SEK 90 million—underscore its aggressive pursuit of growth in high-potential markets such as AI data centers and satellite communications (SATCOM). These moves reflect a calculated approach to capital-raising, balancing immediate operational needs with long-term market positioning.

Strategic Allocation of Funds: R&D, Market Expansion, and Capital Structure

According to a report by Sivers Semiconductors, the SEK 90 million directed share issue announced in September 2025 will allocate 60% of proceeds to R&D initiatives, 20% to go-to-market efforts, and 20% to capital structure optimization Sivers Semiconductors intends to carry out a directed share issue^[1]. This distribution mirrors the company's broader strategy to solidify its leadership in high-margin segments. For instance, the earlier SEK 108 million issue in 2025 similarly prioritized product development and U.S. sales expansion Sivers Semiconductors has resolved on a directed share issue of …^[2]. Such allocations align with industry trends, where firms in the semiconductor sector increasingly invest in next-generation technologies to meet surging demand for AI-driven infrastructure and secure satellite connectivity.

The decision to prioritize R&D is particularly noteworthy. As stated by the company, 60% of the SEK 90 million will fund research into advanced gallium arsenide (GaAs) and gallium nitride (GaN) technologies, which are critical for high-frequency applications in 5G and SATCOM Sivers Semiconductors intends to carry out a directed share issue^[1]. This focus on R&D is a hallmark of successful semiconductor firms in growth phases, as it enables differentiation in a market where commoditization risks are ever-present.

Rationale for Directed Share Issues: Diversification and Market Efficiency

Sivers Semiconductors has consistently justified its use of directed share issues over traditional rights offerings by emphasizing shareholder base diversification and operational efficiency. A press release from the company notes that deviating from shareholders' preferential rights allows it to avoid the complexities and delays inherent in rights issues while attracting institutional and qualified investors Sivers Semiconductors intends to carry out a directed share issue^[1]Sivers Semiconductors has resolved on a directed share issue of …^[2]. This approach has also enabled the company to secure commitments from strategic investors, including Boardman Bay Capital Management and Cicero Fonder, as well as board and management members who invested SEK 7 million in the 2025 issue Sivers Semiconductors has resolved on a directed share issue of …^[2].

The inclusion of lock-up undertakings further reinforces this strategy. By restricting the sale of shares by board members and management for 90 days and imposing a 180-day restriction on future share issuances, Sivers aims to signal confidence in its long-term value proposition Sivers Semiconductors intends to carry out a directed share issue^[1]. Such measures are common in capital-raising exercises for high-growth firms, as they mitigate short-term volatility and align stakeholder interests.

Implications for Investors: Dilution vs. Growth Potential

While the directed share issues have introduced dilution—estimated at 11.8% of shares and votes if the second tranche of the 2025 issue is approved Sivers Semiconductors has resolved on a directed share issue of …^[2]—the company's strategic focus on high-growth markets may offset these concerns. For instance, the SATCOM and AI data center sectors are projected to expand at compound annual growth rates (CAGRs) exceeding 10% through 2030, according to industry analysts. Sivers' targeted investments in these areas position it to capture market share from legacy players struggling with margin compression.

However, investors must weigh the dilutive impact against the company's ability to execute its growth plans. The SEK 108 million issue, for example, included a tranche conditional on shareholder approval, highlighting the risks of regulatory or market uncertainty. The success of the SEK 90 million issue will depend on the company's capacity to translate R&D advancements into commercial products and maintain its competitive edge in a capital-intensive industry.

Conclusion: A Calculated Bet on the Future of Semiconductors

Sivers Semiconductors' dual share issues represent a bold but calculated bet on the future of the semiconductor industry. By leveraging directed share issues to secure capital for R&D and market expansion, the company is positioning itself to capitalize on the AI and SATCOM booms. While dilution and execution risks remain, the strategic alignment with high-growth verticals and the inclusion of lock-up undertakings suggest a disciplined approach to capital allocation. For investors, the key question is whether Sivers can convert its aggressive funding strategy into sustainable revenue growth—a challenge that will define its trajectory in the coming years.