Nvidia has closed a US$5 billion private placement for 214.7 million Intel shares, providing a major capital boost as Intel grapples with heavy debt and spending.
Nvidia, the AI chip designer, has formally completed a US$5 billion investment in Intel, according to a filing made on Monday, December 29, finalising a transaction first announced in September.
The filing said Nvidia bought more than 214.7 million Intel common shares at US$23.28 per share through a private placement. The deal is being closely watched as a rare equity tie-up between two major US chipmakers that have long competed in parts of the market.
The investment is widely seen as a financial lifeline for Intel, which has faced mounting pressure after years of strategic stumbles and capital-intensive expansion plans that weighed on its balance sheet.
US antitrust regulators cleared the transaction earlier this month, with the Federal Trade Commission confirming approval in December.