Sivers Semiconductors’ Twin Tailwinds: Defense Award and Institutional Backing Fuel Record Rally

Sivers Semiconductors jumped 23% after a $6.6M defense award and a share placement to institutional investors, with technicals showing overbought conditions.

Sivers Semiconductors kicked off the weekend with a bang, its shares surging 23.45% on Friday to close at 72.90 SEK and touching a new intraday high of 74.90 SEK. The 30.9% weekly gain masked a volatile five days — the stock hit a session low of 48.10 SEK on Monday before staging a steady recovery that culminated in Friday’s breakout on volume of more than 20 million shares.

Two catalysts converged to ignite the rally. First, the company announced a $6.6 million second-year award for its EW STAR electronic warfare project under the Microelectronics Commons program, funded through the NEMC Hub. The contract targets broadband antenna arrays for defense applications including electronic warfare, communications and radar, with dual-use potential. The funding ties directly into U.S. semiconductor and defense infrastructure, pushing the company’s often overlooked mmWave and defense segment into the spotlight alongside its photonics business for AI data centers.

The second catalyst came on the corporate side. An extraordinary general meeting approved a directed share issuance adding 4.31 million SEK to share capital through 8.62 million new common shares priced at 14.50 SEK each. The placement brought in a slate of institutional investors: DNB Disruptive Opportunities, DNB Nordic Small Cap, Storebrand Sverigefond and Alcur Fonder from Sweden, plus Hudson Bay Capital Management and Waterside AM from overseas. The proceeds support a broader restructuring of the company’s capital market structure, including a shift to U.S. auditing standards under PCAOB — widely seen as a preparatory step toward a potential secondary listing in New York.

On the operational front, Sivers continues to bet on its indium phosphide (InP) laser platform for co-packaged optics, a technology gaining traction in AI data centers as bandwidth demands rise. Rather than building its own fabs, the company operates a capital-light model through a partnership with WIN Semiconductors in Taiwan, aiming to transition its InP production to volume-capable foundry manufacturing on 150mm (6-inch) wafers. Successfully scaling without loading the balance sheet would strengthen the case for large cloud and AI customers.

The board is also in flux. The nomination committee has proposed three returning directors and two new candidates — Joakim Nideborn and Helena Svancar — ahead of the annual general meeting scheduled for June 15 in Stockholm. At the same time, investors are eyeing the delayed first-quarter report due on May 29, which will provide the first hard numbers on revenue quality, funding needs and progress in industrial scaling after weeks of speculative trading.

Technically, the stock looks overheated. The 50-day moving average sits at 26.75 SEK, while the 200-day is at 9.45 SEK — leaving the current price 172.5% above the short-term trendline. The relative strength index of 74.5 signals overbought conditions. The rally from the March low of 4.12 SEK now stands at an extraordinary 1,669%, and with a market capitalization of roughly 17.44 billion SEK, the May 29 report will be a critical test of whether fundamentals can keep pace with the soaring valuation.