Intraday trading saw a rise in tech stocks, with the S&P 500 Information Technology Sector Index climbing 0.6% and the Nasdaq increasing by 0.2%. Private equity firm Permira made headlines with its acquisition of website building and hosting software company Squarespace, pushing Squarespace’s shares up by 13%. Arm Holdings’ American depositary receipts (ADRs) also surged by 6% following reports of its upcoming release of an artificial intelligence (AI) chip in 2025.
Permira Acquires Squarespace for $6.9 Billion
Permira’s purchase deal valued Squarespace at $6.9 billion, with investors set to receive $44 per share, a 15.2% premium over the previous closing price. The acquisition deal would see Squarespace’s founder and CEO, Anthony Casalena, retaining his current position and a significant ownership stake in the company. This move is expected to help Squarespace expand its reach and offerings in the website building and hosting software industry.
Intel in Advanced Negotiations with Apollo Global Management
Reports emerged that Intel is in advanced negotiations with Apollo Global Management for funding exceeding $11 billion to construct a new factory in Ireland. This news pushed Intel’s shares up by 3%, showcasing a potentially significant investment that could boost the chipmaker’s operations and presence in Ireland. The new factory is expected to produce Intel’s latest generation of 7nm chips and create thousands of jobs.
Arm Holdings Set to Release AI Chip in 2025
Arm Holdings, a UK-based chip designer, is gearing up to introduce its first AI chip in 2025. The company aims to have a prototype ready by the following spring, with intentions to commence mass production in the fall after collaborating with contract manufacturers. This marks a significant development for Arm Holdings in the realm of AI chip development, showcasing the company’s innovative strides and commitment to technological advancements.
The tech sector saw significant movements and developments in the past few days, highlighting the impact of Squarespace’s acquisition, the potential funding deal for Intel, and the innovative strides of Arm Holdings in AI chip development. Investors and industry experts will be closely watching these companies and their future developments as they continue to pave the way for technological advancements in their respective fields.
Original article: “Tech Stocks on the Move Today Squarespace Arm and More” https://www.investopedia.com/tech-stocks-on-the-move-today-squarespace-arm-and-more-8647435
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