U.S. semiconductor company Intel is reportedly in investment negotiations worth $11 billion (approximately 15 trillion KRW) with global alternative investment firm Apollo Global Management, according to the Wall Street Journal (WSJ) on the 13th (local time).
According to sources, Intel and Apollo are conducting exclusive talks, and a deal could be finalized within the next few weeks.
Although specific details of the negotiations have not been disclosed, it is known that Apollo Global Management is providing Intel with up to $11 billion (15 trillion KRW) to build a factory in Ireland.
Intel is constructing or expanding factories in Arizona and Ohio in the U.S., as well as in Ireland and several other locations, to capitalize on the surging chip demand. The company aims to compete with leading foundry sector players such as Taiwan Semiconductor Manufacturing Company (TSMC) and Samsung Electronics.
Earlier, Intel announced plans to build semiconductor factories in Ireland and France to receive subsidy benefits from the European Union (EU) in 2022.
Intel has also been negotiating with global investment firms such as Kohlberg Kravis Roberts (KKR) and infrastructure investor Stonepeak to secure funding for factory construction. It is reported that building a state-of-the-art chip factory costs more than $20 billion.
Following the funding news, Intel’s stock price closed at $30.51, up 2.21%, on the New York Stock Exchange that day.
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