Intel’s self-driving car business soars following an IPO that valued the unit at roughly $17 billion!
Shares of Mobileye rose 27% out of the gate in their trading debut, in one of the highest-profile and largest initial public offerings of the year.
Tweet on Mobileye’s IPO debut
Tech stocks dove Wednesday morning, pushed lower by disappointing results@Microsoft and Google's Parent @Alphabet Lead Tech Stocks Lower After Reporting Slowing Sales Growth via FactSet pic.twitter.com/Q2lf6TThzg
— The_Journalbiz (@the_journalbiz) October 26, 2022
FactSet chart on Mobileye’s soaring debut
Intel’s automated car-driving unit initially traded at $26.71, above its IPO price of $21 a share. That gives Mobileye MBLY 28.43%increase a valuation of more than $21 billion.
The stock opened on the Nasdaq stock market a little before midday Wednesday, trading under the symbol MBLY. More than 3.5 million shares changed hands in the opening trade
Mobileye’s tweet on going public with their stock offering
Today we celebrate going public & our mission to bring self-driving tech to everyone, everywhere! Thank you to @intel, our partners & customers who helped us get here & our incredible team, always working to transform our vision into reality! #MobileyeGoesPublic $MBLY pic.twitter.com/xKH1XgpQuT
— Mobileye (@Mobileye) October 26, 2022
Tweet on IPO at Nasdaq
The shares were sold late Tuesday at a price above the targeted range of $18 to $20 a share, though that had been lowered dramatically prior to the offering.
Advisers to Mobileye were hyper aware of the perils facing U.S. IPOs now given how choppy markets have been this year and priced the offering conservatively, according to people close to the deal. IPOs in the U.S. had raised only $7.4 billion so far this year through Tuesday, putting 2022 on track to be the worst year for new issues in decades, according to Dealogic.