By Reuters | Updated: September 23, 2024
Sept 22 (Reuters) – U.S.-based asset management company Apollo Global Management (APO.N) has offered to make an investment of as much as $5 billion in Intel (INTC.O) Bloomberg News reported on Sunday.
Apollo has indicated in recent days it would be willing to make an equity-like investment of billions of dollars in Intel, the report said, citing a person familiar with the matter.
The news comes at a moment of weakness for Intel, which was once the most valuable chipmaker in the world, but whose shares have lost nearly 60% of their value since the start of the year.
Intel executives have been weighing Apollo’s proposal, Bloomberg reported, adding that talks regarding the deal are in a preliminary stage and have not been finalized.
Bloomberg said that the size of the potential investment in Intel could change and discussions regarding a deal could also fall through.
Intel declined to comment on the Bloomberg News report, while Apollo did not respond to a Reuters’ request for comment.
Earlier this year, Apollo said it will acquire a 49% equity interest in a joint venture related to Intel’s new manufacturing facility in Ireland for $11 billion.
The development for an investment in Intel comes soon after Qualcomm (QCOM.O) has in recent days approached Intel to explore a potential acquisition of the troubled chipmaker in what could be a transformational deal in the sector but faces many hurdles.
Qualcomm CEO Cristiano Amon is personally involved in the negotiations to acquire five-decade-old Intel, which are currently in an early stage, Reuters reported on Friday citing a source who was briefed on the matter.
Previously, Qualcomm has also explored acquiring pieces of Intel’s chip design business.
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@ Thomson Reuters 2024
