Intel Corporation is raising $15 billion through an underwritten public offering of common stock. The company will use the net proceeds for general corporate purposes, capital expenditures, and working capital.
These funds support Intel's expansion into the chip contract manufacturing market to compete with industry leaders. Strong demand for artificial intelligence recently prompted the company to increase its capital expenditure forecast.
Intel shares fell more than 3% in premarket trading following the announcement. Investors cited concerns regarding the dilutive effect of the new shares on existing holdings.