sailfast parent
I’m confused. Why is equity required when the current loan guarantees were perfectly adequate? The only answer is that the USG wanted more control and leverage than was required to achieve national security objectives. Kinda negates the whole approach to the article in my opinion.
Don't underestimate the pettiness of the current administration. They didn't like the old deal because they didn't make it. It is really as simple as that.
Were the current loan (and grant) guarantees perfectly adequate? Citation needed.
In some investors view they were not.
> "The deal certainly has the appearance of the government clawing back the remaining portion of the previous grant, as the government is getting equity not previously contemplated for dollars already committed," Morgan Stanley analysts "The trade-off, in our view, is that the company will have the flexibility to optimize its own business model without commitment to public service objectives, which may or may not include foundry services at 14A as articulated on the last earnings call
https://www.investopedia.com/intel-stock-keeps-getting-a-boo...
Fair enough. In reality though they have absolutely committed to “public service objectives” which is a weird way to say “doing whatever the administration asks otherwise they rapidly liquidate their stake”
Not sure how many times people will keep repeating this mistake assuming they won’t be hit up for protection money again later…