(Boursier.com) — Intel announced a $5.7 billion deal to acquire the Israeli ‘chip’ maker Tower Semiconductor, as the American giant seeks to further strengthen its capabilities. Thus, Intel is offering $53 per share of its prey, a fairly generous 60% premium over yesterday’s closing price. The transaction is expected to close in approximately 12 months and has already been unanimously approved by both boards of directors. The deal is still subject to certain regulatory approvals, including Tower shareholder approval. The transaction is expected to be immediately accretive to Intel’s non-GAAP earnings per share. Intel said it intended to fund the acquisition with its cash.
Tower will remain independent until the agreement is completed. Next, the firm will be integrated into Intel Foundry Services (IFS), which Intel created a year ago to help meet growing global demand for semiconductor manufacturing capacity.
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