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Chip making giant Intel is purchasing Israeli-based sensor company Mobileye in a $15.3 billion deal. The two companies made the announcement early Monday, after Israeli business news publication, TheMarker first broke the news. Intel is offering $63.54 per share in cash, valuing Mobileye at about $15.3 billion on a fully-diluted basis, and $14.7 billion in enterprise value.

The news sent shares of Mobileye, which makes self-driving systems for carmakers, up 33% in premarket trading Monday. That added $3.5 billion to Mobileye’s now near $14 billion market cap.

“The transaction extends Intel’s strategy to invest in data-intensive market opportunities that build on the company’s strengths in computing and connectivity from the cloud, through the network, to the device,” the Monday press release read.

The offer represents at 34.5% premium on Mobileye’s $47.27 stock price at Friday’s close. Intel said it expected the transaction to close within the next nine months and to immediately boost its non-GAAP earnings per share as well as its free cash flow.

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