Overview

• Intel and the administration detailed an $8.9 billion purchase of 433.3 million shares at $20.47 each, equating to roughly 9.9% ownership.
• The agreement includes a five-year warrant at $20 for up to an additional 5% if Intel loses control of its foundry business.
• Total federal support tied to Intel now totals about $11.1 billion, including $2.2 billion previously disbursed under the CHIPS Act.
• The government takes no board seat or information rights and agreed to vote with Intel’s board on shareholder matters, with limited exceptions.
• The announcement followed a White House meeting with CEO Lip-Bu Tan; Intel shares rose about 5.5% as critics flagged legal and governance risks, and SoftBank separately invested $2 billion earlier in the week.