Intel prices an upsized $20 billion stock offering to fund AI-chip capex

Intel priced an underwritten public offering of common stock at $20 billion on August 10, 2026, upsized from an initially proposed $15 billion. It is one of the largest equity raises by a chipmaker to fund the AI buildout.

The company sold about 210.5 million shares at $95 each, Intel said, with underwriters granted a 30-day option for up to 31.6 million additional shares. Net proceeds are expected to be roughly $19.7 billion, according to the company’s free writing prospectus filed with the U.S. Securities and Exchange Commission.

Intel said the money will go toward general corporate purposes, including capital expenditures and working capital, as demand for AI chips accelerates. The offering was expected to close August 12, 2026.

The raise matters because Intel is spending heavily to rebuild its manufacturing and product roadmap while its cash generation lags rivals, and equity is a costlier route than debt when it dilutes existing shareholders. J.P. Morgan, Goldman Sachs, Morgan Stanley and Citigroup are joint book-running managers, with more than a dozen additional banks participating.

An upsized offering signals demand for the stock, but it does not resolve the strategic question. Intel still has to convert capital spending into competitive AI silicon and foundry customers before the market judges the dilution worthwhile.