Skip Header
Important information: The value of investments can go down as well as up so you may get back less than you invest. Investors should note that the views expressed may no longer be current and may have already been acted upon. This is a third-party news feed and may not reflect Fidelity’s views.

Sondrel surges on Neuralink speculation

(Sharecast News) - Sondrel shares rocketed on Thursday after the Daily Mail reported that a key part of Elon Musk's Neuralink brain chip was created by the AIM-listed company, which provides "ultra-complex chips" for technology brands. According to the Daily Mail, Sondrel assisted with some of the semiconductor technology that allows Neuralink's implants to function.

It noted that Sondrel is just one of a handful of companies capable designing and supplying the higher-spec chips required. Others are based in Asia and considered vulnerable to Chinese interference.

The Mail said the project is subject to multiple non-disclosure agreements, meaning the precise role played by British designers - and the number of other companies involved - is "shrouded in secrecy".

However, a source with knowledge of the project suggested that Sondrel played a key role in assisting Neuralink, which successfully implanted a chip in a patient's brain for the first time on Sunday.

"Sondrel solved a problem that others could not, and that was necessary for the finished product, so it played a pretty significant role," the source told MailOnline.

It was understood there is no material financial benefit for Sondrel from its partnership with Neuralink, but it is likely to boost the company's reputation among potential customers and investors.

Responding to the surge in its share price on Thursday, Sondrel simply pointed out that it "remains one of only a few companies capable of designing and supplying higher-spec, complex chips built on the most advanced semiconductor technologies".

It added that its customer base "continues to include leading global technology brands".

In a brief statement, it said: "The company remains encouraged that demand for Sondrel's ASIC services, including in the US, remains strong and that the group continues to trade in line with current market expectations with a number of new ASIC business opportunities at advanced stages of negotiation.

"The group does not comment on the identity of customers."

At 1255 GMT, the shares were up 127% at 13.50p.

Share this article

Related Sharecast Articles

Easyjet suspends flights to Israel until October
(Sharecast News) - Budget carrier easyJet on Tuesday said it had suspended flights to Tel Aviv until October 27 after Iran's missile and drone attack against Israel on Saturday night.
Berenberg stays at 'buy' on Yellow Cake on tight supplies and supply risk
(Sharecast News) - Analysts at Berenberg stood by their 'buy' recommendation for shares of Yellow Cake, the uranium oxide concentrate holding company, following a fireside chat with its boss, Andre Liebenberg.
Bank of America upbeat despite profits slide
(Sharecast News) - Bank of America said it had seen a "strong" first quarter on Tuesday, despite posting a sharp fall in profits.
Berenberg lowers target price on Kainos
(Sharecast News) - Analysts at Berenberg lowered their target price on software company Kainos from 1,315.0p to 1,260.0p on Tuesday following the group's full-year trading update on 15 April.

Important information: This information is not a personal recommendation for any particular investment. If you are unsure about the suitability of an investment you should speak to one of Fidelity’s advisers or an authorised financial adviser of your choice. When you are thinking about investing in shares, it’s generally a good idea to consider holding them alongside other investments in a diversified portfolio of assets. Past performance is not a reliable indicator of future returns.

Award-winning online share dealing

Search, compare and select from thousands of shares.

Expert insights into investing your money

Our team of experts explore the world of share dealing.