https://www.marketwatch.com/story/intel-rises-in-premarket-on-report-of-11-billion-apollo-investment-in-new-chip-plant-046da5d6?mod=home-page
Intel rises in premarket on report of $11 billion Apollo investment in new chip plant
Last Updated: May 13, 2024 at 9:08 a.m. ET
First Published: May 13, 2024 at 8:45 a.m. ET
By Steve GelsiFollow
Apollo is front-runner on deal after it outshines KKR and Stonepeak, the WSJ report says
Intel stock was up on a report it is in talks to line up $11 billion for a new chip plant. AGENCE FRANCE-PRESSE/GETTY I
Intel Corp’s stock rose 1.1% in premarket trading on Monday after The Wall Street Journal reported it was in talks with Apollo Global Management Inc. to line up $11 billion to construct a new chip plant in Ireland.
The deal with Intel INTC, 3.76% could be finalized within weeks after Apollo outpaced rival firms such as Stonepeak and KKR & Co Inc. KKR, -0.57% for the deal, the report said.
Apollo’s High Grade Capital Solutions unit is leading the deal for Apollo.
The new plant is part of Intel’s plan to meet increased chip demand.
The potential deal with Apollo comes after Brookfield Asset Management Ltd. BAM, 0.63% inked a $30 billion deal with Intel in 2022 for a chip-making plant in Chandler, Ariz. Intel was to have a controlling stake in the Arizona plant.
Prior to Monday’s trades, Intel’s stock was down 40.6% in 2024, compared to an 8.9% gain by the Nasdaq NDAQ, 0.86%.
This is important b/c it is part of MEGA (Make Europe Great Again), a subset of MAGA. For reference, Amazon Web & Microsoft announced investments in France of $1B & 4B respectively this past week. Intel has already been awarded $8.5B for domestic production efforts