Semiconductor manufacturer GlobalFoundries Inc. has reportedly filed confidentially for an initial public offering, which would suggest that talks about a merger with Intel Corp. could be done.

Reuters reported Wednesday afternoon that GlobalFoundries sent IPO paperwork to the Securities and Exchange Commission, with plans to seek a valuation of about $25 billion, according to unnamed sources. The company is expected to publicly reveal the filing in October, Reuters reported, but market conditions could change the timing.

The Wall Street Journal reported last month that GlobalFoundries and Intel

were discussing a potential merger as Intel looks to ramp up its direct manufacturing amid a semiconductor shortage. Sources told Reuters that GlobalFoundries was concerned that a tie-up with Intel would harm relations with other customers, and that Intel had not made a formal offer.

For more: Intel wants to buy AMD’s old chip-making business? How weird are semiconductor mergers going to get?

GlobalFoundries was once the manufacturing arm of Advanced Micro Devices Inc.
but spun out of that chip company in a deal that gave partial ownership to Mubadala Investment Co. , Abu Dhabi’s sovereign wealth fund that is now the majority owner of the entity. AMD, a fierce rival of Intel in chips for personal computers and servers, is still a major customer of GlobalFoundries.

Intel’s stock was quiet in after-hours trading Wednesday after the report was released. Intel shares have gained 4.8% so far this year, as AMD shares have increased 12.8% and the S&P 500 index

has increased 18.4%.

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