Mobileye shares turn south after unveiling Intel's $900 mln stake sale plans

** Shares of autonomous driving tech firm Mobileye MBLY reverse earlier gains and last down 3.4% to $18 on Weds after secondary offering by chipmaker Intel INTC announced

** Israeli-based MBLY late Tues commenced offering of 45 mln Class A shares being offloaded by Intel Overseas Funding Corp with Goldman Sachs and BofA as jt lead bookrunners

** MBLY also agreed to concurrently repurchase $100 mln worth of Class A shares from INTC in private transaction

** Based on current levels, INTC would be unloading just north of 50 mln MBLY shares for roughly $900 mln

** INTC also intends to voluntarily convert 50 mln Class B shares into 50 mln Class A shares to increase the public float

** Following the transactions, INTC will beneficially own ~82% of MBLY and have approx 98% of voting power, per the prospectus

** As of May 30, MBLY had ~812.5 mln total shares outstanding giving it roughly $14.6 bln current market cap

** Wells Fargo on Weds boosted its MBLY PT by $6 to $24, pointing to positive preannouncement and Taiwan Semiconductor Manufacturing Co (TSMC) agreement

** MBLY late Tues released preliminary Q2 rev estimate of $502-$506 mln, above its prior outlook of about $470 mln

** It also said recently entered into agreement with TSMC to manufacture components of co's imaging radar and future generations of its EyeQ product, and potentially future products

** Avg rating among 27 analysts covering MBLY is "buy" and median PT is $18 - LSEG data

** With move on Weds, stock down ~10% YTD

** INTC shares on Weds down 1.1% at $23.33, trimming YTD advance to ~16%