Intel Sells Majority Stake in Cyber-Security Business

Private equity firm TPG will take a 51 percent stake and Intel will keep a 49 percent share in a security company that will adopt the McAfee name.

Intel is spinning out its cyber-security software business in a partnership with private equity firm TPG in the latest move by top-tier tech vendor to remake itself in an industry undergoing rapid change.Intel officials said Sept. 7 that the chip maker and TPG will create a new independent company based on its Intel Security unit in a deal worth about $4.2 billion, a far cry from the $7.6 billion Intel paid for the McAfee security software company in 2010. TPG will own 51 percent of the business and Intel 49 percent, and the private equity firm also will put in another $1.1 billion into the new company to help accelerate growth.Chris Young, senior vice president and general manager of the Intel Security Group, will become the CEO of the new company, which will adopt the McAfee name. Intel officials in 2014 pushed the McAfee brand into the background, renaming the business Intel Security. For the full article click here 

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