Trump wants more investment deals in US firms like Intel’s, worrying business community
The White House announced a near-10 per cent stake in chipmaker Intel on Friday that converts government grants into an equity share
US President Donald Trump said he wants to make more investments in healthy US companies on Monday. Whether Corporate America is on board is another story.
Trump doubled down on the idea of similar deals in other sectors on Monday, telling reporters at the White House: “I hope I’m going to have many more cases like it.”
The administration’s approach upends a decades-old view of the US economy, in which the government only took corporate stakes in rare emergencies such as the 2008 global financial crisis and the subsequent bailout of US car companies.
Intel is struggling but still has a cash cushion of US$9 billion and a market value of US$105 billion.