** Chipmaker Onsemi's ON.O shares down 0.5% to $102.14 early Weds as it looks to raise capital

** Scottsdale, Arizona-based firm offering privately $1.3 bln 5-yr convertible bonds (CBs)

** Co intends to use net offering proceeds for general purposes, including paying down debt

** It also expects to use some proceeds to fund capped calls, derivative transactions employed to offset potential dilution, and repurchase up to $400 mln of its shares to facilitate delta hedging transactions by some CBs purchasers

** Co late Mon forecast Q2 rev of $1.54-$1.64 bln, above Wall Street's expectations, betting on resilient auto demand

** ON has roughly $40 bln market cap

** With move on the session, stock up ~89% YTD compared to 28% gain in S&P 500 semiconductors index .SPLRCELCS and 59% advance in Philadelphia SE Semiconductor Index .SOX

** Of 35 analysts, 15 rate stock "strong buy" or "buy", 20 rate "hold"; median PT of $100.50 up from $69 a month ago, per LSEG data