Intel crashed by 42% - is the acquisition deal of Classiq in danger?

Intel's stock has plunged 42% since last Tuesday, following Q3 results and a broader chip market downturn. Concerns about the $2.2 billion acquisition of Israeli startup Classiq are unfounded: shares have not yet been allocated, and the consideration will be adjusted at closing.

Intel's stock has plunged 42% since last Tuesday, following Q3 results that indicated rising PC prices and an explosion at its Kiryat Gat plant, as well as a broader chip market downturn driven by AI bubble fears and excessive regulation. The decline raised concerns about the $2.2 billion acquisition of Israeli startup Classiq, announced last Monday. However, the article clarifies that the deal is not at risk: shares have not yet been allocated to shareholders, and the consideration will be based on the average closing price at the expected closing in the first half of next year. Intel may choose to pay in cash or stock, and it has a cash reserve of $54 billion.