SoftBank to buy $2bn in Intel shares
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The announcement coincided with unconfirmed reports that President Donald Trump is considering having the U.S. government buy a stake in the tech company.
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Not convinced about its turnaround, but there is little downside for Softbank investing in Intel
Jefferies Asia’s Atul Goyal argues SoftBank’s tiny Intel stake limits exposure, while potential U.S. government backing could turn Masa’s Intel bet into an advantage. For Intel, still struggling with its turnaround,
A $2 billion investment represents a roughly 2% stake, ranking SoftBank the fifth-largest shareholder of Intel, while a reported 10% stake by the U.S. would be worth about $10.4 billion as of Monday’s share price.
Money might not be the solution to Intel Corp.’s problems.
Intel Corporation sees a steep rally; speculation over U.S. stake and SoftBank investment fuels optimism, but can it overcome challenges? Click for our INTC update.
Intel is getting a $2 billion lifeline from Japan's SoftBank, the companies announced Monday after signing a definitive securities purchase agreement.
The U.S. chipmaker has struggled to keep pace in the AI market alongside competitors like Nvidia. Softbank has agreed to buy Intel common stock at $23 per share.
SoftBank will invest $2 billion into Intel as the struggling chipmaker pulls back on spending and lays off thousands of workers. In an announcement, SoftBank CEO Masayoshi Son said the investment aligns with the firm’s belief that “advanced semiconductor manufacturing and supply will further expand in the United States.”
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