Apple Ups Its Stake Of Imagination Tech to 9.5%

Apple Ups Its Stake Of Imagination Tech to 9.5%

LONDON, June 26 (Reuters) - UK chip designer Imagination Technologies Plc (IMG.L) said on Friday iPhone maker Apple Inc (AAPL.O) has upped its stake in the company to 9.5 percent following a share placement and recent share purchases. Stake-building in Imagination Tech by both Apple and U.S. chipmaker Intel Corp (INTC.O), which now owns a 16 pct stake, ignited takeover speculation and drove up the share price earlier this week, although the shares have dropped back over the last couple of days as bid hopes have faded.

Imagination Tech said in filings to the stock exchange that Apple was subscribing for 2.2 million new shares at 143 pence and had bought a further 11.52 million shares.

Nearly 10 million shares in Imagination Tech changed hands on Wednesday at 150 pence each. Traders said the seller was understood to be the under pressure Saudi investor Saad Group.

Imagination Tech has said it sees the share purchases as a way for the companies to ensure access to its intellectual property, while Intel has denied it is planning a takeover offer.

Shares in Imagination Tech were up 3 percent at 147 pence at 0805 GMT. ($1=.6153 Pound)

• Apple subscribes for 2.2 mln shares at 143 pence/shr
• Buys further 11.52 mln shares at undisclosed price
• Imagination Tech shares up 3 pct