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Intel agrees to pay $14.2B to repurchase Apollo's 49% stake in the Fab 34 joint venture in Ireland, and plans to issue $6.5B in new debt to fund it; INTC up 10%

Intel Corp., the chipmaker aiming to restore its manufacturing prowess, agreed to pay $14.2 billion to buy back half of a plant …

Bloomberg Ian King

Discussion

  • @jt_martin Ben on x
    Apollo paid $11.2 billion for 49% of Intel's Fab 34 in 2024. Eighteen months later, Intel paid $14.2 billion to buy it back. Stock's up 9%. Headlines say “renewed strength”; I think the interesting part is what happened in between. That 2024 deal was never really a sale. It was
  • @jukan05 Jukan on x
    Intel buying back the stake in its Ireland fab is genuinely surprising. It is remarkable that the company's financial position improved so much in such a short period of time. It can also be interpreted as a sign that the company is very optimistic about its CPU business going [i…
  • @adrianweckler Adrian Weckler on x
    While Intel's Kildare campus does not currently make the company's newest 18A or Panther Lake chips, it can produce the cutting-edge data-centre Granite Rapids Xeon 6A chips, said to be the company's most valuable and in-demand product at present.
  • @dzinsner David Zinsner on x
    Today we announced that Intel is repurchasing the 49% equity interest in our Fab 34 joint venture from Apollo for $14.2 billion — unwinding a structure that served us exactly as intended when we put it in place in 2024. The original SCIP arrangement gave us critical financial