(Times of Update) — Intel Corp., which is cutting staff and spending as it tries to turn around the company, sold its stake in chip technology maker Arm Holdings Plc in the second quarter.
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The company announced in a regulatory filing Tuesday that it no longer holds the 1.18 million shares it held three months earlier. Based on Arm’s average share price during that period ($124.34), the sale would have netted Intel about $147 million.
Intel is struggling to regain its footing in an industry it once dominated. Earlier this month, the company reported one of the worst financial results in its 56-year history, sending its stock down nearly a third. To get back on track, Intel has cut 15,000 jobs and slashed other expenses. The chipmaker also suspended its dividend.
While the sale of Arm’s shares may have represented a windfall, the company still recorded a net loss of $120 million on its equity investments during the period.
A representative for Intel, based in Santa Clara, Calif., declined to comment.
Arm, which sold shares last year in the biggest IPO of 2023, is majority-owned by Japan’s SoftBank Group Corp. The company licenses chip designs and blueprints to the entire semiconductor industry, including Intel.
Intel produces the majority of its own chips based on designs developed in-house. But those products have lost ground to competitors, many of which use Arm products.
(Updates with company declining to comment in fifth paragraph.)
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