Intel logo is seen near computer motherboard in this illustration taken January 8, 2024. 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 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 investment in Intel comes soon after Qualcomm 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.
Reporting by Mrinmay Dey in Bengaluru; Editing by Lisa Shumaker
