Intel Corporation Reports Amendments to Direct Funding Agreement and CHIPS Act Funding
Summary
• Item 1.01: Intel Corporation and the Department of Commerce (DOC) entered into the Implementing Amendment to Direct Funding Agreement (Ex. 10.1), removing certain project milestone, free cash flow sharing, and workforce policy requirements, while retaining restrictions on CHIPS Act funds for dividends/share repurchases and change of control. • Item 8.01: On August 27, 2025, Intel received $5.695 billion in accelerated disbursements under the DFA and issued 274,583,000 shares of common stock and a warrant for up to 240,516,150 shares to the DOC, along with 158,740,000 shares into escrow.
Why It Matters
Investors should care about the $5.695 billion in accelerated disbursements and the removal of restrictive covenants, such as free cash flow sharing and project milestone requirements, as these changes provide Intel with greater financial flexibility and immediate capital for its CHIPS Act projects.
Key Quote
“"), the closing occurred under the Purchase Agreement, at which time: (i) the Company received the full amount of the accelerated disbursements under the DFA of $5.”
— From Item 8.01
Filing Details
Reported Items
Additional Information
- CIK Number
- 0000050863
- Filing Date
- Friday, August 29, 2025
- Filing Time
- 12:00 AM UTC
- Form Type
- 8-K
- Materiality Level
- high
- Sentiment
- positive