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Stock impact report

What does it mean when Uncle Sam is one of your biggest shareholders? Chip startup xLight is about to find out [TechCrunch]

MP Materials Corp. (MP) 
Company Research Source: TechCrunch
the third time the U.S. government has taken an equity position in a private startup and further expanding a controversial strategy that has put Washington on the cap tables of American companies. The Wall Street Journal reported Monday that the Commerce Department will provide the funding to xLight in exchange for an equity stake that will likely make the government the startup's largest shareholder. The deal uses funding from the 2022 Chips and Science Act and represents the first Chips Act award in President Trump's second term, though it remains preliminary and subject to change. Previous government equity investments under the Trump administration include publicly traded companies Intel , MP Materials, Lithium Americas , and Trilogy Metals . Two rare earths startups also secured funding in exchange for equity from the Commerce Department last month. You can imagine how this is all going over in Silicon Valley, where the libertarian ethos runs deep. At TechCrunch's signature Show less Read more
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