Intel Corporation shares traded 9 percent higher at $55.66 in the pre-market session on Tuesday after the company announced it is looking to take its driver assistance and autonomous driving solutions subsidiary Mobileye public some time during the coming year.
Mobileye released a statement stating that the company, with the full support of Intel’s board, would go public in the United States, with the middle of 2022, touted as a possible timeline.
The move will create a separate public company, though Intel would continue as a majority shareholder and strategic partner.
“Intel’s acquisition of Mobileye has been a great success,” Intel’s CEO Pat Gelsinger said.
“Amnon and I determined that an IPO provides the best opportunity to build on Mobileye’s track record for innovation and unlock value for shareholders,” Gelsinger said, referring to Mobileye CEO Amnon Shashua..
Intel’s acquisition of Mobileye four years ago has largely been deemed a success with the latter announcing its first Robotaxi in a tie-up with German rental car company Sixt SE earlier this year.
By Rahul Sharan
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