While Cisco is increasing its stake in VMware, Intel is reducing it. The company plans to sell the bulk of those shares on Tuesday, according to a regulatory filing.
Intel disclosed that it had recently sold 1 million shares in the virtualization software maker and plans to sell another 3.75 million VMware shares on the open market “approximately” on Tuesday.
The chipmaker originally paid $23 per share for the stock in a private placement. VMware shares hit a record high of $125.25 on October 31, 2007, after going public in August that year at $29 per share.
Shares of VMware, which is majority-owned by EMC, fell nearly 4 percent before recovering to trade up 0.53 percent at $31.98 in morning trade on the New York Stock Exchange.
More info in this Reuters article.