An anonymous reader quotes a report from Fortune: Intel is spinning out its security business with help from private equity firm TPG , as the chip giant focuses more on its top growth opportunities. Intel will collect $3.1 billion in cash and retain a 49% ownership stake. TPG will own 51% of the new company, to be called McAfee. Under terms of the spin off, TPG will make a $1.1 billion equity investment in McAfee, which will also take on $2 billion of debt. The deal is expected to close in the second quarter of 2017, Intel said. The deal ends Intel's sometimes tumultuous efforts to add cybersecurity software features to its various semiconductor chip businesses. It also marks a near-final coda to Intel's $8 billion purchase of McAfee in 2010 . Analysts and investors have favored disposing of the business, which they said didn't add much to the chip sales and was too dependent on the shrinking PC market. The unit reported $1.1 billion of revenue in the first half of the year, up 11% from the same period of 2015, and operating income of $182 million, a 391% jump. Chris Young, who joined Intel's security unit from Cisco Systems in 2014, will be CEO of the new company. Intel said it still plans to collaborate with McAfee to add security features across its product lines.
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