Intel to Buy Israel’s Tower Semiconductor for $5.4 Billion

  • Intel will pay $53 per share in cash for Tower Semiconductor
  • Pat Gelsinger pushing into outsourced chip manufacturing
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Intel Corp. agreed to acquire Tower Semiconductor Ltd. for about $5.4 billion, part of Chief Executive Officer Pat Gelsinger’s push into the outsourced chip-manufacturing business.

Intel will pay $53 per share in cash for Tower, according to a statement TuesdayBloomberg Terminal. The offer represents a 60% premium to Tower’s closing share price in U.S. trading on Monday. The companies’ boards have approved the transaction, which they expect will close in about 12 months.