Nvidia has purchased Intel shares worth $5 billion, the American semiconductor firm said in a filing on Monday, carrying out a transaction announced in September.
The leading AI chip designer said in September it would pay $23.28 per share for Intel common stock, in a deal that is seen as a major financial lifeline for the chipmaker after years of missteps and capital intensive production capacity expansions drained its finances.
The world’s most valuable firm has bought over 214.7 million Intel shares at the price set out in the September agreement, in a private placement, according to Monday’s filing.
Nvidia in September agreed to pay $23.28 per share for more than 214.7 million shares of Intel common stock. ZUMAPRESS.com
The deal is seen as a major financial lifeline for the Intel after years of missteps. Bloomberg via Getty Images
NVIDIA CEO Jensen Huang speaks during a tech event. AFP via Getty ImagesU.S. antitrust agencies had cleared Nvidia’s investment in Intel, according to a notice posted by the U.S. Federal Trade Commission earlier this month.
Nvidia shares were down 1.8% in trading, while Intel stock was 0.4% higher.
