Intel Corp to buy Altera for USD 16.7 bn

World's biggest chipmaker Intel Corp today announced that it will acquire Altera Corp for USD 16.7 billion, the biggest deal in its 47-year history.
"Intel Corporation and Altera Corporation today announced a definitive agreement under which Intel would acquire Altera for USD 54 per share in an all-cash transaction valued at approximately USD 16.7 billion," Intel said in a statement.
The combination is expected to enable new classes of products that meet customer needs in the data center and Internet of Things (IoT) market segments, it added.
Altera designs processors for phone networks, server systems, cars and other devices.
The companies also expect to enhance Altera's products through design and manufacturing improvements resulting from Intel's integrated device manufacturing model.

"Intel's growth strategy is to expand our core assets into profitable, complementary market segments," Intel CEO Brian Krzanich said adding "with this acquisition, we will harness the power of Moore's Law to make the next generation of solutions not just better, but able to do more".

"Given our close partnership, we've seen firsthand the many benefits of our relationship with Intel...," said John Daane, President, CEO and Chairman of Altera.
Altera will become an Intel business unit to facilitate continuity of existing and new customer sales and support.
The transaction has been unanimously approved by the Intel and Altera Boards of Directors and is subject to certain regulatory approvals and customary closing conditions, including the approval of Altera's stockholders.