US Stock Market Move | Announced to receive a $50 million intention fund from the United States chip act, Coherent (COHR.US) drops more than 5%.

On Tuesday, Coherent's (COHR.US) stock price weakened during trading, closing at $390.18, down 5.72% at the time of writing. In terms of news, Coherent announced the signing of a letter of intent with the U.S. Department of Commerce to receive a $50 million special subsidy under the U.S. CHIPS Act, with the funds specifically allocated to expand their 6-inch indium phosphide semiconductor manufacturing plant in Sherman, Texas. Once the project is completed, the production area of the plant will double, wafer production capacity will quadruple, and a groundbreaking ceremony was held on the same day as the project's initiation.