Super Micro Computer Inc. (NASDAQ: SMCI) announced plans for $7 billion in equity and equity-linked financing transactions to fund component purchases for AI server orders, according to a company press release.

The financing structure includes $5 billion in underwritten public offerings, comprising approximately $1.25 billion in common stock and $3.75 billion in depositary shares. The company also plans an at-the-market offering program of up to $2 billion in common stock, expected to begin in the third quarter of 2026.

Supermicro stated it received approximately $39 billion in orders for advanced AI servers from more than 20 customers in recent weeks. The company plans to use proceeds from the financing to purchase components to fulfill these orders in future quarters.

The depositary shares will represent a fractional interest in newly issued mandatory convertible preferred stock, with each depositary share having a $50 liquidation preference. The preferred stock will automatically convert to common stock by June 1, 2029, unless converted earlier.

J.P. Morgan, Goldman Sachs & Co. LLC and Citigroup serve as lead joint bookrunning managers for the offerings. The company intends to list the depositary shares on the Nasdaq Global Select Market under the symbol "SMCIP."

The completion of each offering is not contingent on the other. The company noted that the $39 billion in orders do not constitute firm commitments and remain subject to cancellation and delays.

Supermicro may also use proceeds for general corporate purposes, including debt repayment, working capital additions and capital expenditures. The transactions are subject to market conditions and regulatory approval.