TPG has agreed to acquire a 51% stake in the McAfee cybersecurity business from Intel (NASDAQ: INTC), which will retain a 49% ownership interest. Intel will receive $3.1 billion in cash as part of the deal, and TPG will contribute another $1.1 billion to help grow McAfee as a standalone business. Intel senior vice president Chris Young will be appointed CEO upon the deal's close, expected during 2Q 2017.
It's perhaps a disappointing return for Intel, which had purchased McAfee for $7.7 billion in 2011. The sale is part of a hectic past few months for the chip-making giant, which cut 11% of its workforce in April. Just last week, McAfee founder John McAfee sued Intel for the right to continue using his name on future businesses and projects.