© Reuters. FILE PHOTO: The listing of Mobileye Global Inc., the self-driving unit of chip maker Intel Corp, is seen at the Nasdaq MarketSite, at Times Square in New York City, U.S., October 26, 2022. REUTERS/Shannon Stapleton
(Reuters) – Intel Corp (NASDAQ:) is offering 35 million shares of Class A common stock, or about a $1.5 billion stake, in Mobileye Global Inc, according to a regulatory filing on Monday.
After the offering, Intel’s voting share in the self-driving technology company will come down to about 98.7% from the 99.3% it currently holds.
Shares of the Jerusalem, Israel-based Mobileye fell over 4% to $40.55 in extended trading.
The share sale comes at a time when the company is facing intense competition in the assisted driving market from chipmakers Nvidia (NASDAQ:) Corp and Qualcomm (NASDAQ:) Inc, which are trying to make inroads into the space.
Mobileye, which counts BMW, Nissan (OTC:) and Volkswagen (ETR:), among others as its customers, listed on the Nasdaq last year after raising $861 million in an initial public offering.
Goldman Sachs & Co (NYSE:) and Morgan Stanley (NYSE:) are acting as joint book-running managers for the share sale, the company said.
