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Key Takeaways
- Intel and Apollo Global Management are reportedly in advanced talks to have the private equity firm put up more than $11 billion for a new Intel chip plant in Ireland.
- The Wall Street Journal said an agreement could come in the coming weeks.
- Intel CEO Pat Gelsinger has called Ireland “The Silicon Isle.”
Intel ( INTC ) shares rose in intraday trading Monday on a report it is in advanced talks with Apollo Global Management for the private equity firm to provide the chipmaker with more than $11 billion to help build a factory in Ireland.
The Wall Street Journal reported the exclusive discussions could lead to a deal in the coming weeks.
The paper noted that several other alternative investment firms, including KKR ( KKR ) and infrastructure investor Stonepeak, had also been in the running to fund the plant before Apollo gained the upper hand.
Intel, which has had a decades-long presence in Ireland, opened a 17-billion-euro ($18.4 billion) facility last September at its Leixlip campus, at which Chief Executive Officer (CEO ) Pat Gelsinger referred to the country as “The Silicon Isle.”
A spokesperson for Apollo declined to comment when contacted by Investopedia.
Intel was up 3% at $30.73 as of 12:47 p.m. ET Monday but its shares are down 39% this year.