Intel Corp ( INTC ) shares are moving higher Wednesday. The company announced a joint venture related to Intel's ( INTC ) Fab 34 in Ireland.

What To Know: Late Tuesday, Intel ( INTC ) shares jumped after the company announced that it entered into a definitive agreement with Apollo-managed funds and affiliates.

Under the terms of the agreement, the Apollo team will lead an investment of $11 billion to acquire a 49% equity interest from Intel ( INTC ) in a joint venture entity related to the company's Fab 34, Intel's ( INTC ) high-volume manufacturing facility designed for wafers using the Intel ( INTC ) 4 and Intel ( INTC ) 3 process technologies.

Intel ( INTC ) said the new transaction will allow it to unlock and redeploy a portion of the investment to other parts of its business while continuing the build-out of Fab 34. Intel ( INTC ) has invested $18.4 billion in Fab 34 to date.

"Intel's ( INTC ) agreement with Apollo gives us additional flexibility to execute our strategy as we invest to create the world's most resilient and sustainable semiconductor supply chain,” said David Zinsner, CFO of Intel ( INTC ).

“Our investments in leading-edge capacity in the U.S. and Europe will be critical to meet the growing demand for silicon, with the global semiconductor market poised to double over the next five years."

Under the agreement, the joint venture will have rights to manufacture wafers at Fab 34 to support long-term demand for Intel's ( INTC ) products and provide capacity for Intel Foundry customers. Intel ( INTC ) will have a 51% controlling interest in the joint venture and retain full ownership and operational control of Fab 34 and its assets. The transaction is expected to close in the second quarter.

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INTC Price Action: Intel ( INTC ) shares were up 0.93% at $30.31 at the time of writing Wednesday morning, according to Benzinga Pro.