Intel and Silver jointly announced Monday (18th) that they will receive US$2 billion in investment from Silver. According to the United Statement, Silver will purchase Intel common stock at $23 per share. The two sides described this agreement as &q...
Intel and Silver jointly announced Monday (18th) that they will receive US$2 billion in investment from Silver. According to the United Statement, Silver will purchase Intel common stock at $23 per share. The two sides described this agreement as "deepening the commitment to US chip innovation" and will complete the delivery conditions according to the conditions.
Intel closed at $23.66 per share on Monday. After the news came out, the stock price rose by about 6% to $25 per share.
Intel Executive Chairman Chen Liwu said in a statement, "Masa and I have been working together for decades, and I am very grateful for his trust in Intel through this investment."
Based on FactSet data, this investment makes Silver the fifth largest shareholder of Intel and is also a supportive statement for Intel. The company fell 60% last year, creating its worst performance in the open market for more than half a century. As of Monday's closing, Intel's stock price has rebounded by 18% this year.
Silver Executive Director Sun Zhengyi pointed out that "For more than 50 years, Intel has been a trusted leader in innovation. This strategic investment reflects our belief that advanced semiconductor manufacturing and supply in the United States will continue to expand, and Intel will play a key role."
Chen Liwu took over as Intel's executive chairman in March this year, but previously US President Trump called him down. Currently, U.S. government officials have discussed possible holdings of about 10% of Intel's shares.
On the other hand, the position of the global chip and AI market has been increasing in recent years. The company purchased chip design company Arm for about $3.2 billion in 2016, and now Arm has a market value of nearly $150 billion.
Silver announced in March that it plans to acquire another chip design company Ampere Computing for $6.5 billion. At the same time, Silver is also part of the announcement of the Stargate project, participating with OpenAI and Oracle. The three companies promise to invest an initial $100 billion in the next four years, up to $500 billion, for AI-based construction projects. Two months later, the Silver invested $4 billion in OpenAI, creating the largest private investment case in the history of the technology sector.
Chen Liwu said that he is very excited to deepen cooperation with the Silver. The Silver is at the forefront in many new technology and innovation fields, and shares his commitment to promoting American technology and manufacturing leadership. He is grateful to Sun Zhengyi for his confidence in Intel through this investment.
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