For those interested in the semiconductor industry, pay close attention to the following: On Tuesday, Intel Corporation (NASDAQ:$INTC) and Mobileye NV (NYSE:$MBLY) announced that Intel further extended its offer to buy out remaining Mobileye shareholders after securing 84% of the acquisition target’s shares.
Both companies reported that they had commenced a follow-up offering period which will expire at 11:59 PM New York time on August 21, or 0359 GMT on August 22. In order to maximize the number of minority shareholders who accept Intel’s offer, this could be extended by five or more business days.
In an attempt to convince any investor holdouts to tender their remaining shares, Mobileye disclosed that it had submitted notice to the New York Stock Exchange of their plans to delist their shares. This could occur as early as the end of August.
For those who don’t know, Mobileye is based in Israel, and is the largest supplier of systems used in automotive collision detection systems. Additionally, Mobileye is currently working with Intel to create autonomous driving systems.
The acquisition was announced in March – valued at around $15.3 billion – and it aims to help move Intel into the top ranks of automotive suppliers. In addition, it vows to put Intel into direct competition with Qualcomm, Inc. (NASDAQ:$QCOM).
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