The new company will be one of the world’s largest pure-play cybersecurity companies.
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TPG, the alternative-asset manager that oversees $70 billion, agreed to acquire Intel Corp.’s computer-security unit in a deal that values the business at $4.2 billion including debt.
The group is no longer affiliated with founder John McAfee, who was a fugitive from authorities in Central America and more recently made a run for the United States presidency.
Intel announced the $7.68 billion deal for McAfee in 2010 and closed the deal in 2011.
“Going forward we will continue to integrate industry-leading security and privacy capabilities in our products from the cloud to billions of smart, connected computing devices”, Intel Chief Executive Brian Krzanich (above) said in a statement.
“Our customers want the reassurance that our strategy has not changed. Intel will continue our collaboration with McAfee as we offer safe and secure products to our customers”.
Intel is selling off a majority stake in its McAfee unit and turning it back into an independent security company.
For its part, TPG said it has been watching the cyber security market for some time.
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TPG will take a 51% stake in the business, while Intel will retain 49%, according to one of the people. Through the first half of this year, Intel Security Group revenue grew 11 percent to $1.1 billion, while operating income grew 391 percent to $182 million. The companies expect to complete the transaction in the second quarter of 2017.
