Intel Corp. and private equity firm TPG Capital on Wednesday announced a definitive agreement under which the two parties will establish a jointly-owned and independent cybersecurity company.
Under the deal, TPG will make $1.1 billion purchase of a majority stake in Intel’s cybersecurity subsidary McAfee. This represents a 51 per cent stake in the IT security firm, which will essentially be operated as a new independent “pure-play” company with Intel Security’s senior vice president and general manager Chris Young acting as CEO.
Moving forward, McAfee will focus its business on endpoint and cloud as security control points, as well as actionable threat intelligence, analytics and orchestration.
“As a standalone company supported by these two partners, we will be in an even greater position of strength, committed to being the best provider the cybersecurity industry has ever seen,” Young said. “We will continue to focus on solving the unique demands of customers in the dynamic cybersecurity marketplace, drive innovation that anticipates future market needs, and continue to grow through our strategic priorities.”