Intel Eyes Significantly Lower Valuation in IPO of Mobileye Unit

Intel is eyeing a significantly lower valuation than previously expected in the initial public offering of its Mobileye Global Inc. self-driving car unit, according to people familiar with the matter, in the latest sign of the beleaguered state of the new-issue market. Mobileye, which was originally expected to land a roughly $50 billion valuation, is now set to target one of under $20 billion and sell a smaller number of shares than originally planned, the people said. By selling fewer shares at a lower price, the company and its advisers are hoping to drum up interest that will push up the shares after they start trading, some of the people said. In another sign of the challenges facing the offering, Mobileye plans to launch its roadshow for prospective investors on Tuesday, a day later than anticipated. Intel last month filed publicly for an IPO of Mobileye and is expected to detail its new valuation expectations Tuesday.