The offering comes after Intel shares surged more than 400% over the past year, as investors have become increasingly optimistic about the company's turnaround.
Intel plans to raise $15 billion through a public offering of common stock, seeking to capitalize on a dramatic rise in its share price as the company invests in artificial intelligence, chip manufacturing and advanced packaging.
The proposed offering comes after Intel's shares gained more than 400% over the past year, according to the information provided. The stock initially fell in premarket trading following the announcement as investors assessed the potential dilution from the new shares.
Intel said customer demand remains strong and sustainable, driven by what it described as unprecedented investment in AI computing. The company identified several areas as potential growth opportunities, including physical AI, purpose built or custom silicon, advanced packaging and external wafer manufacturing.
The proceeds from the offering will be used for general corporate purposes, which may include capital expenditures and working capital. Intel said the additional funding will allow it to pursue growth opportunities while maintaining a strong balance sheet and its investment-grade credit rating.
Underwriters will also have a 30-day option to purchase up to an additional $2.25 billion of Intel common stock at the public offering price, before underwriting discounts. JPMorgan, Goldman Sachs, Morgan Stanley and Citigroup are among the banks managing the transaction.
The fundraising follows a strong second-quarter performance. Intel reported quarterly revenue of $16.1 billion, up 25% from a year earlier, while the company raised its 2026 capital spending forecast from $18 billion to more than $20 billion. Intel has indicated that spending in 2027 is expected to rise further.
Intel is also investing heavily in its manufacturing and foundry operations as it attempts to compete more closely with established chip manufacturers such as Taiwan Semiconductor Manufacturing Co.
The stock offering represents a significant source of fresh capital for Intel at a time when the company is attempting to turn stronger AI-related demand and renewed investor confidence into longer-term growth.
The proposed transaction could increase the number of Intel shares outstanding, meaning existing shareholders would experience dilution if the new shares are issued. The final terms and pricing of the offering were not provided in the information available.
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