Overview

• The government agreed to buy 433.3 million Intel shares at $20.47 each for about $8.9 billion, funded by $5.7 billion in unpaid CHIPS Act grants and $3.2 billion from the Secure Enclave program.
• Intel said the investment is a passive holding with no board seats or governance rights, with the government agreeing to vote with the board on shareholder matters and receiving a five‑year warrant tied to foundry ownership changes.
• In a new SEC filing, Intel warned the government stake could hurt international sales, expose it to foreign subsidy rules, reduce other shareholders’ influence, dilute existing holders, and jeopardize access to future grants.
• Intel disclosed the deal is expected to close on August 26 and that its CHIPS Act obligations would be considered discharged to the maximum extent permitted by law, excluding the Secure Enclave award.
• National Economic Council Director Kevin Hassett said similar equity deals could follow as the administration explores a sovereign wealth fund concept, while President Trump defended the transaction and vowed to pursue more.