Intel faces investor backlash for selling 10% stake to Trump admin at discount
Intel warns investors to brace for losses and uncertainties.
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Really, cos the graph looks like they bounced back to near 12 month highs?
Good point. But would the share price otherwise have been higher without the government discounted purchase? Share dilution, law of supply and demand, etc are all decent arguments the shareholders could make.
And there's now increased risk that the purchase could cause future strategic and market challenges, especially internationally.
Plus it's not just a share price issue. For example, the fact that shareholders have had their voting power diluted is arguably a concern.
Is the 10% new shares issued specifically for the government? I understood they were existing shares so dilution would not apply here.
New shares issued at a discount price. So a bit of a double punch for the existing share holders.
Still, you're highlighting of the price going up is a good point, and maybe all my food-for-thought ramblings mean nothing. I guess we'll see.
Your points are valid, the discount price is questionable. This is not my area of expertise, I only wanted to question if the headline was reactionary or if I missed something.
