--- title: "Supermicro's lenders and collateral" language: en canonical: https://dossiertwist.com/dossiers/super-micro-computer-inc/financing/ as_of: 2026-10-17 keywords: ["Super Micro Computer","Supermicro","SMCI","Charles Liang","Sara Liu","Wally Liaw","Ablecom Technology","Compuware Technology","Steve Liang","Bill Liang","related-party transactions","Ernst & Young resignation","Special Committee","SEC cease-and-desist order","restatement","Nasdaq delisting","export controls","United States v. Liaw","securities class action","Leadtek Research"] --- # Supermicro's lenders and collateral **Question.** Who lends to Supermicro, against what collateral? **Answer.** Since December 29, 2025 Supermicro has had a revolving credit facility of up to $2,000.0 million from a syndicate of lenders with JPMorgan Chase Bank, N.A. as agent; it was fully drawn at June 30, 2026 and, while Supermicro lacks an investment-grade rating, is guaranteed by Supermicro and certain domestic subsidiaries and secured by a first-priority lien on substantially all their assets. Supermicro has also raised money through convertible notes due 2028, 2029 and 2030 and two share offerings in fiscal 2024. Its Taiwan subsidiary borrows from Taiwanese banks: land and buildings in Bade secure its CTBC Bank lines, and the Taoyuan manufacturing facilities were pledged under existing loans. ## The 2025 revolving credit facility - Analysis: On December 29, 2025 Supermicro entered into a credit agreement with JPMorgan Chase Bank, N.A., as administrative agent and collateral agent, and a syndicate of lenders for a revolving credit facility of up to $2,000.0 million, maturing on December 29, 2030. The facility includes a $200.0 million letter-of-credit sub-limit and a $150.0 million same-day sub-limit, with an option to add up to $1,000.0 million. During any period in which Supermicro lacks an investment-grade rating, the facility is guaranteed by Supermicro and certain domestic subsidiaries and secured by a first-priority lien on substantially all assets of the loan parties. The full $2,000.0 million was outstanding at June 30, 2026, when the estimated collateral value of assets held in the United States was about $22.4 billion. David Weigand signed the agreement for Super Micro Computer, Inc., as lead borrower, with the title Senior Vice President, Chief Financial Officer and Chief Compliance Officer. [src-002] [src-105] ## Convertible notes and share offerings - Analysis: On February 27, 2024 Supermicro issued $1,725.0 million of convertible senior notes due March 1, 2029 in a private offering. The notes are senior unsecured obligations that, as issued, bore no regular interest; net proceeds were $1,553.7 million after $29.2 million of issuance costs and $142.1 million of related capped call transactions. On February 11, 2025 Supermicro agreed with certain holders to amend those notes, obtain waivers and sell them $700.0 million of new 2.25% convertible senior notes due July 15, 2028, issued under an indenture with U.S. Bank Trust Company, National Association, as trustee and with an initial conversion price of about $61.06 per share; the documents were executed on February 20, 2025. From that date the 2029 notes bear interest of 3.50% a year with a conversion price of about $83.44 per share, and Supermicro accounted for the amendment as an extinguishment with a $30.3 million loss. By fiscal 2026 it also had 0.00% convertible senior notes due 2030 outstanding. [src-012] [src-002] - Analysis: Supermicro also sold common stock in two public offerings in fiscal 2024. On December 5, 2023, 24,158,050 shares were sold at $26.20 per share, 23,151,050 of them by the company for net proceeds of about $582.8 million and 1,007,000 by selling stockholders whom the annual report does not name; on March 22, 2024 Supermicro sold 20,000,000 shares at $87.50 per share for net proceeds of about $1.73 billion. At June 30, 2024 it reported debt obligations of $402.3 million current and $74.1 million long-term, convertible notes of $1,725.0 million, operating lease obligations of $9.3 million current and $26.1 million long-term, and non-cancelable purchase commitments of $6.2 billion. A data center lease signed in June 2024 and simultaneously sublicensed to a party Supermicro described as unrelated had not commenced and was off the balance sheet, with future fixed payments of about $411.8 million. [src-012] ## Bank lines and the assets securing them - Analysis: At June 30, 2024 Supermicro's lines of credit and term loans totalled $476,429 thousand, against $290,302 thousand a year earlier. Lines of credit comprised CTBC Bank $184,573 thousand, E.SUN Bank $60,000 thousand, Mega Bank $50,000 thousand, HSBC Bank $30,000 thousand, First Bank $28,084 thousand and Chang Hwa Bank $9,215 thousand, and term loans from Chang Hwa Bank, CTBC Bank, E.SUN Bank and Mega Bank totalled $114,557 thousand; the Cathay Bank line, $131,583 thousand a year earlier, had been repaid. During fiscal 2024 Supermicro obtained a $50 million facility from HSBC Bank (December 7, 2023), increased its CTBC Bank credit lines from $105 million to $185 million (February 16, 2024), renewed a $50 million credit agreement with Mega Bank (April 17, 2024), set up a $60 million trade facility with E.SUN Bank (April 19, 2024) and on April 26, 2024 entered into facilities with Chang Hwa Bank ($20 million and NTD 300 million) and a $30 million loan agreement with First Commercial Bank. [src-012] - Analysis: Two U.S. facilities were secured by Supermicro's own assets. Its 2018 revolving facility with Bank of America, increased to $350.0 million on March 3, 2022 and extended to June 28, 2026, was secured by substantially all of the company's assets other than real property and prohibited dividend payments; nothing was outstanding under it at June 30, 2023 or 2024. Its Cathay Bank line of credit, effective May 19, 2022, was secured by certain of its San Jose properties, whose net book value was $88.4 million at June 30, 2024; borrowings under it were $131.6 million at June 30, 2023 and nil a year later. On November 20, 2024 Supermicro prepaid in full and terminated the Bank of America facility, the Cathay Bank agreement and a bridge term loan facility. [src-012] - Analysis: In Taiwan, land and buildings in Bade with a net book value of $72.9 million secured the CTBC Bank credit line and term loan facility of Supermicro's Taiwan subsidiary at June 30, 2024, and the fiscal 2024 annual report states that the company's manufacturing facilities in Taoyuan County, Taiwan, about 954,000 square feet on 6.77 acres of owned land, were pledged as security under existing loans with $55.7 million outstanding. Under an omnibus credit authorization agreement of April 17, 2024 with Mega International Commercial Bank, which raised the credit limit from US$20 million to US$50 million, the Taiwan subsidiary must keep specified deposit balances with the bank and Supermicro must keep 100% direct or indirect ownership of the subsidiary. On May 23, 2024 the Taiwan subsidiary also obtained credit lines of up to NTD 1.55 billion (about $47.8 million) from Yuanta Commercial Bank Co., Ltd. [src-012] - Analysis: The schedules to the December 2025 credit agreement list the Taiwan subsidiary's debts as of November 30, 2025 as short-term borrowings of $60 million from E SUN Bank and $57 million from CTBC Bank, and disclose liens on certain of its assets, including the Bade facility, securing CTBC Bank's credit lines. According to Supermicro's fiscal 2026 annual report, the subsidiary's new NTD short-term loan and guarantee line and new USD short-term loan line with CTBC Bank continue to be secured by certain of its assets, including property, land and plant. [src-105] [src-002] ## Sources - [src-002] Super Micro Computer, Inc. Form 10-K for the fiscal year ended June 30, 2026, U.S. Securities and Exchange Commission (EDGAR), 2026-08-31 - [src-105] Credit Agreement dated December 29, 2025 among Super Micro Computer, Inc., lenders and JPMorgan Chase Bank, N.A. (Exhibit 10.1 to Form 8-K), U.S. Securities and Exchange Commission (EDGAR), 2025-12-29 - [src-012] Super Micro Computer, Inc. Form 10-K for the fiscal year ended June 30, 2024, U.S. Securities and Exchange Commission (EDGAR), 2025-02-25