ASML shares jump on Intel deal

Published November 20, 2014

Shares in ASML Holding NV surged Tuesday on news that Intel Corp intends to take a 15 percent stake in the company for around $3.07 billion and will also help fund its research into new technologies. ASML said other large customers may also take equity stakes.

In early morning trading, shares were 9.4 percent higher at €43.475

ASML, the world's largest supplier of equipment to computer chip makers, said after the close of trading in New York Monday that it may issue up to €4.19 billion ($5.15 billion) worth of shares, or a 25 percent stake, to Intel and others. However, under the deal's complicated structure, current shareholders would not be diluted, as ASML would distribute the proceeds to existing shareholders, and then carry out a reverse share split.

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