Intel is to sell 51% of Altera to Silver Lake for $4.46 billion in a deal which is said to value Altera at $8.75 billion. Intel will own 49% of Altera.
Raghib Hussain will succeed Sandra Rivera as CEO of Altera, effective May 5, 2025.
Previously Hussain was president of Products and Technologies at Marvell and COO and co-founder at Cavium.
“Today’s announcement reflects our commitment to sharpening our focus, lowering our expense structure and strengthening our balance sheet,” said Intel CEO Lip-Bu Tan.
“This investment represents a once-in-a-generation opportunity to invest in a scale leader in advanced semiconductors. Together with Raghib, we will be focused on strengthening Altera’s technology leadership position and investing in emerging AI-driven markets such as edge computing and robotics,” said Kenneth Hao, chairman and managing partner of Silver Lake. “We look forward to working closely with Intel as a strategic partner who will continue to provide U.S.-based foundry services and complementary engagement with customers.”
“I am excited to lead Altera in its next chapter, and this milestone with Silver Lake furthers Altera’s journey to be the world’s No. 1 FPGA solutions provider,” said Hussain.
Upon closing, Intel expects to deconsolidate Altera’s financial results from Intel’s consolidated financial statements. In Fiscal Year 2024, Altera generated revenues of $1.54 billion, GAAP gross margin of $361 million and GAAP operating loss of $615 million.
Altera was founded in 1983 by semiconductor veterans Rodney Smith, Robert Hartmann, James Sansbury, and Paul Newhagen.
