Overview

• Intel said the government bought 433.3 million common shares at $20.47 each, giving Washington a 9.9% holding funded by $5.7 billion in unpaid CHIPS grants and $3.2 billion from the Secure Enclave program.
• The company described the holding as passive with no board seat or special information rights, and said the government agreed to vote with Intel’s board on most shareholder matters.
• Earlier comments from Commerce Secretary Howard Lutnick describing a non‑voting stake conflict with the mechanics of common stock, highlighting governance ambiguity.
• The agreement includes a five‑year warrant at $20 per share for up to an additional 5% if Intel falls below 51% ownership of its foundry business.
• The novel equity-for-funding structure draws scrutiny from analysts and some lawmakers as the administration pursues other unconventional deals, following Intel’s recent losses and a separate $2 billion investment from SoftBank.