Chip giant, Intel (NASDAQ: INTC) announced on Wednesday that it has decided to sell around 20% of its stake in its IMS Nanofabrication business to Bain Capital for around $4.3 billion. The transaction is expected to close in the third quarter of this year. IMS will continue to operate as a standalone subsidiary after the transaction and will continue to be led by CEO Dr. Elmar Platzgummer.
Don't Miss our Black Friday Offers:
- Unlock your investing potential with TipRanks Premium - Now At 40% OFF!
- Make smarter investments with weekly expert stock picks from the Smart Investor Newsletter
Intel initially invested in IMS in 2009 and ultimately acquired the business around six years later in 2015. IMS has been at the forefront of multi-beam mask writing tools after inventing multi e-beam technology. According to Intel’s press release, this technology is “critical to the semiconductor ecosystem for creating EUV technology” and this investment “will position IMS to capture the significant market opportunity for multi-beam mask writing tools by accelerating innovation and enabling deeper cross-industry collaboration.”
Analysts are sidelined about INTC stock with a Hold consensus rating based on five Buys, 17 Holds, and four Sells.
