Intel has repurchased the 49 percent share that it doesn’t currently hold in its Fab 34 in Ireland for $14.2 billion.

The chipmaker has purchased the equity stake from an Apollo Global Management joint venture, which acquired the stake in 2024 for $11.2bn.

In a statement, Intel said the original transaction had provided it with “equity-like capital while preserving balance sheet strength,” allowing the company to accelerate the buildout of Intel 4 and Intel 3 process node technology across Europe and Intel 18A in the US.

The repurchase is expected to be funded through cash on hand and proceeds from the issuance of new debt of approximately $6.5 billion, Intel noted. Goldman Sachs & Co. acted as exclusive financial advisor to Intel, while Morgan Stanley & Co. LLC acted as exclusive financial advisor to Apollo.

“We thank Apollo for their ongoing partnership on our journey to build a world-class wafer fabrication and advanced packaging foundry anchored in trust, consistency, and execution,” said David Zinsner, Intel CFO. “Our 2024 agreement was the right structure at the right time and provided Intel with meaningful flexibility, enabling us to accelerate critical initiatives. Today, we have a stronger balance sheet, improved financial discipline, and an evolved business strategy. We appreciate Apollo’s continued collaboration to reach this outcome as we realign our capital structure with our long-term strategy.”

Located in Leixlip in north-east County Kildare, Intel began construction of Fab 34 in 2019, with the site officially opening in September 2023, having cost a total of €17 billion ($19.7bn).

Intel employs around 5,000 people across manufacturing sites in Leixlip, with an additional 300 workers based at a research and development facility in Shannon, County Clare.