Tech stocks rose in intraday trading Monday, with the S&P 500 Information Technology Sector Index 0.6% higher as of noon ET, while the tech-heavy Nasdaq was 0.2% higher. The broader S&P 500 was flat.
Squarespace (SQSP) shares soared after private equity firm Permira said it was buying the website building and hosting software maker and taking it private. A different private equity firm, Apollo Global Management, is reportedly in advanced talks with Intel (INTC) to provide funding for a new factory in Ireland, sending shares of the chipmaker higher. American depositary receipts (ADRs) of Arm Holdings (ARM) rose on a report the semiconductor designer plans to launch its first artificial intelligence (AI) chip next year.
Squarespace Is Being Taken Private by Permira in a $6.9B Deal
Squarespace shares jumped 13% after private equity firm Permira announced it was buying the provider of software to build and host websites for $6.9 billion in cash. The acquisition will pay Squarespace investors $44 per share, 15.2% above Friday’s closing price. Squarespace founder and CEO Anthony Casalena will retain his position and remain a major stakeholder.
Intel Reportedly in Advanced Talks With Apollo to Get Over $11B in Funding for Plant in Ireland
Intel shares added 3% after The Wall Street Journal reported it is in advanced negotiations with Apollo Global Management that would have the private equity firm supply more than $11 billion funding for the chipmaker to build a plant in Ireland. The paper noted that an agreement could happen in the coming weeks. Intel already has a large presence in Ireland, which CEO Pat Gelsinger has called “The Silicon Isle.”
Arm Rises Following Report It Plans To Launch Its First AI Chip Next Year
ADRs of Arm gained 6% following reports that the U.K.-based chip designer has plans to launch its first AI chip in 2025. Arm is expected to have a prototype ready by next spring, with the company set to have the chips produced by contract manufacturers and start mass production in the fall.