Semiconductors & Advanced Manufacturing
The tools are financed against the tools.
A fab is one of the most capital-intensive assets in industry, and most of that cost is the equipment inside it. We structure the debt around what the build actually holds: the tools, the facility, and the contracts to buy its output. Then we take it to the lenders that fund advanced manufacturing and run the process to close.
01 / The Sector
The silicon the buildout runs on.
Semiconductors and advanced components are the physical layer beneath every model and every data center. Fabs and production lines are among the most capital-intensive assets in industry, where a single lithography tool runs into the tens of millions and a new plant into the billions. The long production and inventory cycle then ties up working capital for months before a wafer ever invoices. The financing has to carry both the assets and the cycle.
The constraint
Capital-intensive to build, slow to convert.
The equipment is the cost, and the cycle is the wait. Debt has to answer both.
02 / How We Finance It
The instruments that fund a fab.
Each build calls for a different structure. These are the ones we lead most often in the sector.
Equipment and capex finance
Fab tools and production lines financed against the equipment itself, the single largest cost in a semiconductor or components build. The lithography, deposition, and etch systems carry the debt on their own delivery and installation clock.
Project Finance
A greenfield fab financed as a project, ring-fenced from the sponsor and sized to committed offtake from the customers that will buy the wafers. The plant and its contracted revenue service the debt, not the parent balance sheet.
Dedicated deskWorking Capital
The long production and inventory cycle carried by a revolving facility secured against inventory and receivables. Wafers move through the line for months before they invoice, and the facility funds that gap.
Growth Capital and Acquisition Finance
Debt to fund a capacity expansion or a bolt-on acquisition without a dilutive equity round. A second line, a packaging or test operation, or a competitor bought and folded in, financed on the combined cash flows.
Trade Finance
Letters of credit and supply-chain finance for imported tools and materials. The specialist equipment, substrates, and gases that cross borders funded from order to delivery.
03 / What Secures The Debt
Debt against real assets.
A semiconductor build is rich in collateral, which is what lets it carry debt at scale. Lenders underwrite the hard assets and the contracted revenue, and the structure is secured on the ones that hold their value.
- 01 The equipment and tools
The lithography, deposition, etch, and test systems, the largest and most financeable assets in the build.
- 02 The facility
The fab or production plant itself, and the land and clean-room infrastructure it sits on.
- 03 The order book and committed offtake
The contracts and purchase commitments from the customers that will buy the output.
- 04 Inventory and receivables
The work in progress on the line and the invoices owed once the wafers ship.
04 / Contact
Financing a fab or a production line?
Tell us the facility, the equipment, and the offtake behind it. We will tell you how we would structure the debt and which lenders we would take it to.