Apollo Global Management (NYSE:APO) has proposed an investment of up to $5 billion in Intel Corp (NASDAQ:INTC, ETR:INL), Bloomberg News reported. This comes shortly after a Wall Street Journal report that Qualcomm Inc (NASDAQ:QCOM, ETR:QCI) had approached Intel for a potential takeover.
The hedge fund's potential equity investment, which has not been finalised, is seen as a show of support for Intel's ongoing turnaround efforts.
Intel has faced investor frustration over the slow pace of its recovery and is struggling to keep up with its competitors in the chip-making industry.
Intel’s stock has dropped around 57% this year. The company recently announced plans to spin off its foundry business after implementing cost-cutting measures, including layoffs and a suspension of its dividend. Both Intel and Apollo have declined to comment on the investment.