Intel’s said that it intends to purchase VMware’s Class A common stock in the amount of $218.5 million, subject to customary regulatory and other closing conditions.

The investment is estimated to represent about 2.5% of VMware’s total outstanding common stock and less than 1% of the combined voting power of VMware’s outstanding common stock. According to the announcement, an Intel executive will be appointed to the board of directors of the virtualization software company.