Overview

• The government converted roughly $8.9 billion in CHIPS Act grants into equity, giving it about a 10% holding in Intel, according to filings and reports.
• The agreement includes a five-year warrant allowing up to an additional 5% purchase at $20 per share if Intel’s ownership of its foundry falls below 51%.
• Intel cautioned in an SEC filing that federal ownership could bring new regulatory exposure and adverse reactions from investors, customers and foreign governments.
• White House economic adviser Kevin Hassett said more transactions like Intel’s are likely as officials explore a sovereign-wealth-style approach.
• Treasury Secretary Scott Bessent said Nvidia is unlikely to receive federal investment, and press secretary Karoline Leavitt said Commerce is still ironing out the Intel terms.