An Intel shareholder filed a lawsuit in the Delaware Court of Chancery to void a deal granting the U.S. government a 10% equity stake in the company. This equity position is reportedly valued at $11 billion.
The complaint alleges the agreement constitutes an unlawful contract executed for no meaningful consideration. It characterizes the deal as a response to extortionary threats by the government.
The plaintiff claims Intel’s board of directors breached their fiduciary duties by approving the stake under duress. According to the filing, the board sought to avoid personal and political attacks from the Trump administration.