Tokyo, Aug 19 Japanese investment giant SoftBank and chip major Intel Corporation have signed a definitive securities purchase agreement, under which SoftBank will make a $2 billion investment in Intel.
The investment comes as both Intel and SoftBank deepen their commitment to investing in advanced technology and semiconductor innovation in the United States, the companies said in a statement.
“Semiconductors are the foundation of every industry. For more than 50 years, Intel has been a trusted leader in innovation. This strategic investment reflects our belief that advanced semiconductor manufacturing and supply will further expand in the United States, with Intel playing a critical role,” said Masayoshi Son, Chairman and CEO of SoftBank Group.
Under the terms of the agreement, SoftBank will pay $23 per share of Intel common stock. The transaction is subject to customary closing conditions.
SoftBank’s investment in Intel builds upon its long-term vision of enabling the AI revolution by accelerating access to advanced technologies that support digital transformation, cloud computing, and next-generation infrastructure.
“We are very pleased to deepen our relationship with SoftBank, a company that’s at the forefront of so many areas of emerging technology and innovation and shares our commitment to advancing US technology and manufacturing leadership. Masa and I have worked closely together for decades, and I appreciate the confidence he has placed in Intel with this investment,” said Lip-Bu Tan, CEO of Intel.
In a recent message to all company employees, Tan had said the United States has been his home for more than 40 years, as President Donald called on the head of the chipmaker to resign.
Trump later met Tan, saying the meeting was a very interesting one. “His success and rise is an amazing story,” said Trump.
“We are engaging with the US Administration to address the matters that have been raised and ensure they have the facts. I fully share the President’s commitment to advancing U.S. national and economic security, I appreciate his leadership to advance these priorities, and I’m proud to lead a company that is so central to these goals,” Tan added in his letter to employees.
Disclaimer: This post has been auto-published from an agency feed without any modifications to the text and has not been reviewed by an editor