Intel Buys Back 49% Stake in Ireland Fab for $14.2 Billion

Intel Corporation announced on Wednesday that it has agreed to repurchase a 49 percent stake in its Fab 34 semiconductor manufacturing facility in Ireland from Apollo Global Management for 14.2 billion dollars, regaining full ownership of the plant two years after selling the interest to address financial pressures.

The transaction, set to close using cash reserves and approximately 6.5 billion dollars in new debt, reverses Apollo's 11.2 billion dollar investment in 2024, which formed a joint venture to provide Intel with capital for expanding advanced manufacturing in Europe and the United States. The facility, located in Leixlip near Dublin, produces chips using Intel's 4 and 3 process technologies, including Core Ultra processors for personal computers and Xeon 6 processors for servers. It marks Intel's first high-volume site employing extreme ultraviolet lithography, a key method for creating advanced semiconductors.

Intel's Chief Financial Officer David Zinsner described the original deal as offering "meaningful flexibility" at a critical time. "Today, we have a stronger balance sheet, improved financial discipline and an evolved business strategy," Zinsner said. The...