Mobileye CEO Amnon Shashua poses with Mobileye’s driverless car at the Nasdaq market site in New York, July 20, 2021.
Moon Paradise | Reuters
Mobileye, an Intel-owned company that makes chips, maps and software for self-driving cars, has filed for an initial public offering, according to a prospectus filed with the Securities and Exchange Commission on Friday.
Filling in Mobileye indicates strong revenue growth for the Israeli subsidiary, from $879 million in sales in 2019, to $967 million in 2020, to $1.39 billion last year. Losses shrank from $328 million in 2019 to $75 million last year.
The move to list Mobileye on the Nasdaq is part of Intel’s broader strategy to transform its core business. Intel acquired the company for $15.3 billion in 2017 and previously announced plans to bring Mobileye to the public this year.
Intel previously said it would use some of the money from Mobileye’s list to build more chip factories while it embarks on a capital-intensive process of becoming a foundry for other chip makers.
Mobileye, founded in 1999, has partnered with Audi, BMW, Volkswagen, GM and Ford to develop advanced driving and safety features such as driver assistance and lane keeping using the company’s “EyeQ” camera and chips and software. Mobileye CEO Amnon Shashua said in the filing that 50 companies currently use the company’s technology across 800 vehicle models.
The prospectus says Mobileye plans to list Class A common stock, but it did not provide the number of shares or the price range for the proposed offer. Intel will retain ownership of Class B shares that have ten times the vote of Class A shares, according to the prospectus, giving it control of the company’s board of directors and other decisions.
Intel is looking to test public markets at a time when uptake of future growth technologies such as self-driving cars has slowed dramatically in the face of rising inflation and macroeconomic concerns.
Intel stock is up less than 1% in the extended trading period.