Intel Seeks $17 Billion Investment in Altera Chipmaking Division
In a bold move to revamp its finances, Intel is reportedly courting investors to take a minority stake in its Altera programmable chipmaking unit. According to sources, the tech giant is seeking a whopping $17 billion valuation for the division.
A Brief History of Altera
Intel acquired Altera in 2015 for $16.7 billion, with plans to eventually spin it off as an independent company. In February, Altera was launched as a standalone entity, paving the way for a potential initial public offering (IPO).
Intel’s Financial Woes
The company’s stock has taken a beating this year, plummeting by over 50%. In response, Intel has been exploring various options to shore up its finances, including selling off some of its divisions. However, none of these efforts have come to fruition… yet.
A New Chapter for Altera?
CNBC reports that Intel has reached out to several private equity and strategic investors this week, discussing the possibility of selling a minority stake in Altera. Interestingly, the company has even entertained the idea of allowing investors to take a majority stake in the business.
Intel Remains Tight-Lipped
When approached for comment, Intel declined to provide any further information. Meanwhile, the company’s shares rose by about 1% on Friday, buoyed by news of the potential investment.
As the tech landscape continues to evolve, it remains to be seen how this development will impact Intel’s future prospects. One thing is certain, however: the company is taking bold steps to revitalize its finances and secure its position in the industry.
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