Shares of Intel rose sharply after the semiconductor giant announced a $14.2 billion buyback of a minority stake in its Ireland manufacturing facility from Apollo Global Management. The move, which returns full ownership of the advanced chip plant to Intel, comes as the company’s financial position improves amid strong industry demand driven by artificial intelligence. The stock climbed as much as 8.3% in early trading following the news.
Intel shares climbed as much as 8.3% in early trading after the company announced a $14.2 billion deal to repurchase a 49% stake in its Ireland manufacturing facility from Apollo Global Management. This transaction returns full ownership of the plant to Intel as its finances improve and AI drives demand for its processors.
Apollo had originally paid $11.2 billion in 2024 to acquire the stake, providing a cash infusion for Intel’s manufacturing expansion. The repurchase is expected to be funded through cash on hand and approximately $6.5 billion in new debt issuance.
The Ireland plant, known as Fab 34, produces chips using Intel 4 and Intel 3 process technologies. It manufactures Core Ultra processors for PCs and Xeon processors for servers.
“We thank Apollo for their ongoing partnership on our journey to build a world-class wafer fabrication and advanced packaging foundry anchored in trust, consistency, and execution,” said Intel CFO David Zinsner. He stated the 2024 agreement provided critical flexibility and that Intel now has a stronger balance sheet and evolved strategy.
“Our partnership with Intel began at an important stage in the execution of its advanced manufacturing roadmap, where our long-term strategic capital played a meaningful role,” said Apollo Partner Jamshid Ehsani. Ehsani emphasized the transaction supports Intel’s evolving strategic priorities and reflects a focus on long-term partnership.
The stock buyback news helped Intel shares recover from a chip stock selloff earlier in the week. Year-to-date, Intel stock is up 29% in 2026, making it one of the best performers in the tech sector.
