Isranomics

Mobileye shares soar on its return to Nasdaq

by | Oct 27, 2022 | Stock Market, Innovation | 0 comments

Mobileye is back on Nasdaq! It was quite a return for a company that was originally listed there back in 2014 at a valuation of around $5B and later delisted as a result of being acquired by the chipmaker giant Intel. 

Its return to Nasdaq was spectacular. The Israel based company’s shares surged as high as 40%, giving it a market cap of $23B. To put things into perspective, its present value is higher than that of Check Point Software Technologies ($15B), the largest Israeli company listed on Nasdaq.

It has to be noted that despite a flying start, Intel was aiming to raise $30B last month.

There were even talks of postponing the IPO due to the unfavourable market environment, however, in the end, the company made the decision to proceed with original plans. As a result, Intel generated $861M, making it the fourth-largest IPO in the US this year. 

Having said that, the original valuation still may be achieved if the market momentum continues as Intel remains the major shareholder, with a 94% stake. 

Intel’s decision to put Mobileye on the Nasdaq is a part of the company’s larger plan to revive its semiconductor business, which has recently trailed behind competitors like Nvidia and AMD. As it begins a costly process to become a foundry for other chipmakers, Intel stated it would use a portion of the money from the Mobileye listing to construct other chip factories.

0 Comments

Submit a Comment

Your email address will not be published. Required fields are marked *

Recent posts

Israel’s inflation hits 4.1%, as apartment prices weaken

Israel’s inflation hits 4.1%, as apartment prices weaken

Israel's consumer price index (CPI) exceeded expectations in August, registering a monthly increase of 0.5%, pushing the annual rate to 4.1%, according to data released by the Central Bureau of Statistics. These figures not only exceeded early market estimates but...

The shekel’s uncertain future: analysing the prospects

The shekel’s uncertain future: analysing the prospects

The recent fluctuations in the exchange rate between the US dollar and the Israeli shekel have left financial markets and investors in a state of uncertainty. The shekel has been losing ground against the dollar for some time now, and this trend shows no sign of...

error: Content is protected !!