Global chipmaking giant Intel (NASDAQ:INTC) is mulling an assembly and test location near Wroclaw, Poland at an investment of nearly $4.6 billion.
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The cutting-edge unit is anticipated to meet the demand Intel estimates by 2027. The company is expecting to commence facility design and planning immediately. Importantly, it is aiming to create an end-to-end value chain in Europe with its wafer fabrication unit in Ireland, a planned wafer fabrication location in Germany, and the proposed location in Poland.
Impressively, this will be the biggest greenfield investment in Poland, yet. Apart from finished wafers, the Wroclaw unit will also have the capacity to assemble individual chips into final products.
The European Union is aiming to have 20% of worldwide semiconductor manufacturing by 2030 and Intel’s investment is promising to be a key step in this direction.
Separately, Intel is also nearing a deal to bag $10.8 billion in subsidies for a manufacturing facility from German authorities, according to Handelsblatt. Final talks over the deal are anticipated this weekend.
Overall, the Street has a $30.84 consensus price target on INTC alongside a Hold consensus rating. Shares of the company have zoomed nearly 23.7% over the past month alone.
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