Intel launches $15 billion share sale as turnaround rally lifts stock
The offering follows a stock rally that has more than doubled Intel shares this year as it expands contract manufacturing and advanced packaging capacity.
- On Monday, Intel announced a $15 billion common stock offering to fund its chip contract manufacturing turnaround and meet skyrocketing demand for artificial intelligence compute.
- Seeking to challenge TSMC, Intel is investing in new facilities and advanced packaging while capitalizing on a stock rally that has seen shares more than double this year.
- JPMorgan Securities, Goldman Sachs, Morgan Stanley, and Citigroup Global Markets are managing the sale, which includes a 30-day option for underwriters to purchase up to $2.25 billion in additional shares.
- Intel shares fell more than 3% in premarket trading, reflecting investor concerns regarding potential shareholder dilution from the stock sale.
- Goldman estimates capital expenditures on artificial intelligence demand will reach $765 billion this year and $1.2 trillion in 2027, as tech giants continue scaling infrastructure.
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Intel raises up to $20bn to fund its foundry bet against TSMC
Intel has announced a $15bn common-stock offering, a sale that could swell to as much as $20bn if underwriters take up their overallotment options. It is a bold move for a company that, not long ago, looked like a cautionary tale, and it shows just how far the chipmaker’s fortunes have turned in the space […] This story continues at The Next Web
Intel Raises Stock Offering to USD 20 Billion from USD 15 Billion Announced Earlier
Get latest articles and stories on Business at LatestLY. Intel Corporation has increased the size of its previously announced public offering of common stock to USD 20 billion from USD 15 billion, as the chipmaker looks to raise funds for general corporate purposes, including capital expenditure and working capital. Business News | Intel Raises Stock Offering to USD 20 Billion from USD 15 Billion Announced Earlier.
With new shares, the chip group wants to finance its AI investments. The capital increase flushes significantly more money into the cash register than originally calculated.
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