US government invests $8.9 billion in Intel shares

US -based semiconductor manufacturer Intel announced that it has reached a "historic" agreement with the Trump administration to accelerate the US's leadership in technology and manufacturing.

The statement announced that under the terms of the agreement, the US government will invest $8.9 billion in Intel shares.

9.9 PERCENT OF THE COMPANY

It was stated in the statement that the US government will buy 433.3 million shares of Intel at $20.47 per share, which corresponds to 9.9 percent of the company's shares.

It was emphasized that the government's investment in Intel would be a passive ownership, with no board representation or other management or information rights.

It was also reported that the government's stake will be financed with a $5.7 billion grant previously allocated to Intel under the "CHIPS and Science Act," which was implemented to increase domestic semiconductor production but has not yet been paid, and $3.2 billion allocated to the company.

Trump: US Didn't Pay for Shares

US President Donald Trump shared a post on the subject on his social media account.

"I am very honored to announce that the United States fully owns and controls 10 percent of Intel, a great American company with an even more incredible future," Trump said, adding, "The United States has paid nothing for these shares, and they are now worth approximately $11 billion."

President Trump emphasized that producing cutting-edge semiconductors and chips, like Intel, is important to the future of the United States.