Donald Trump’s government is in discussions to acquire about 10% in the Intelaccording to a White House official and other people who know the issue, in a move that could lead the USA Become the largest shareholder of the hit manufacturer.
The US Federal Government is considering a possible investment in Intel, which will include the conversion of part or all the company’s grants by the US chips and science law into equity. Intel is scheduled to receive a total of $ 10.9 billion in grants by the Chips Law on Commercial and Military Production, according to Bloomberg.
This amount is about enough to pay for targeted participation. With Intel’s current market value, a 10% share of the chip manufacturer will be worth about $ 10.5 billion. The exact size of the share, as well as whether the White House chooses to proceed with the plan, remain under negotiation, sources said.
White House spokesman, Mr. Desai, refused to comment on the details, only saying that no agreement is official until it was announced by the government. Intel did not immediately respond to a request for annotation.
The White House official also reported the possibility that the government would turn other holdings within the Chips ACT into equity shares. It is not clear whether this idea has widely gained ground within the Government or whether officials have set the possibility of any companies that could be affected.
Last month, in an unprecedented move, the Ministry of Defense said it would acquire a privileged share of $ 400 million in the few well -known US MP Materials Corp. – An agreement that would make the Pentagon the largest shareholder in the company.
The news of a possible state investment in Intel sparked a rally in the company’s shares, after Bloomberg News mentioned discussions between US officials and company representatives last week.
Intel’s shares, which negotiated 1.3% lower on the New York Stock Exchange on Monday, increased 23% last week, marking their best weekly profit since February.
As with all the winners of the Chips Act, Intel’s subsidy money was originally designed to be disbursed over time, as the company would achieve the milestones of the negotiating project. Intel had received $ 2.2 billion in grants by January.
It is not clear whether these $ 2.2 billion will be included in the possible share of shares, whether the company has received additional installments from the grant since President Donald Trump took over and in what timetable Intel will receive money in the context of a possible share.