Intel has now announced that the United States government has agreed to buy the company's shares, equivalent to a 9.9% stake in the company. This investment in Intel is said to be zero passive, and no voting rights with board members are offered.
In addition, if Intel reduces their stake to 51% or below in the foundry business, then the United States government will receive an additional 5% stake in Intel.
The United States government will receive this stake through the payment of the remaining $5.7 billion in grants that were previously approved but not paid, in addition to an additional $3.2 billion under the program to develop semiconductors with additional security features for the United States government.
Intel said this investment is also in line with President Trump's aspirations to lead America back in the technology and manufacturing arena.
Previously, Donald Trump has called for the Intel CEO to be fired, and at the same time said that the government should receive an equity stake for the grants provided. With this 10% fund acquisition and no voting rights, we may see Intel's CEO retained.