On Wednesday, Intel announced the termination of its acquisition of Israeli chipmaker Tower Semiconductor, claiming it was unable to obtain the necessary regulatory approval.
Due to “the inability to achieve in a timely way the regulatory approvals required under the merger agreement,” the IT giant stated in a statement that it is abandoning the proposed merger.
A termination fee of $353 million will be paid to Tower by the American chip giant.
In February 2022, Intel disclosed plans to purchase Tower, a contract chipmaker that produces semiconductors for other businesses, for $5.4 billion.
The agreement would have given Intel a foothold in the specialised technology on which Tower specialises, such as industrial sensors and radio frequency.
Source (CNBC)
