Intel plans to take self-driving car unit public in the U.S. in 2022
Amnon Shashua, CEO of Mobileye poses with an autonomous Mobileye vehicle in New York at the Nasdaq Marketplace site on July 20, 2021.
Jeenah Moon | Reuters
Santa Clara chip producer said MondayIt plans to make Mobileye public in America in 2022 through an initial public offer of Mobileye stock.
According to Intel, its share price dropped from $68 per share in April to below $50 in December. The listing will add value for shareholders. According to it, Mobileye’s majority shareholder will not change.
Mobileye was founded in Jerusalem in 1999 by Amnon Shua and Ziv Aviram. It is one of Israel’s most successful stories in technology. The company develops self-driving cars and advanced driver-assistance systems for other manufacturers.
The company has formed partnerships over the years with Tesla, BMW, VolvoAnd General Motors. In July last year, signed a dealWith FordSupport its future generation of safety and advanced driving features throughout the global automaker product range. Ford will use Mobileye’s EyeQ technology in the deal. Camera-based detection technology for features like forward collision warning, vehicle, pedestrian and bicycle detection
In a statement, Intel CEO Pat Gelsinger hailed the acquisition of Mobileye as a success, adding that Mobileye’s revenue will be 40% higher in 2021 than it was in 2020.
Gelsinger took the reins as Intel CEO in January.
Mobileye’s listing is a return to stock market. The company first listed on the New York Stock Exchange (NYSE) in 2014, after receiving $130 million investment from the New York Stock Exchange. Goldman SachsIn 2007.
Mobileye’s acquisition was considered costly, given Intel’s recent revenues of only $400 million. The valuations for self-driving cars companies has risen since Mobileye’s takeover. Waymo as well as Cruise have a combined value of more than $30 Billion.
When Intel bought Mobileye, its market value was $10.6 billion. Mobileye’s valuation next summer is not yet known.
After the announcement, Intel stock rose by around 8% on Monday in after-market trading, and shares climbed from $49 to $51.