Intel Buys McAfee (MFE)

Intel Buys Software Security Company McAfee for $7.68 Billion

In a move to bring together the need for online security in hardware Intel, the silicon chip company, have aquired Internet security software specialists McAfee for a total sum of $7.68 Billion in cash.

The software security technology company was founded in 1987 and is the worlds largest. McAfee had revenues of around $2 Billion in 2009 and is growing in strength and is the perfect software partner for Intel in their effort to marry security technologies into their hardware.

“With the rapid expansion of growth across a vast array of Internet-connected devices, more and more of the elements of our lives have moved online,” said Paul Otellini, Intel president and CEO “In the past, energy-efficient performance and connectivity have defined computing requirements. Looking forward, security will join those as a third pillar of what people demand from all computing experiences.”

Intels acquisition of McAfee has been approved by both boards of directors and is awaiting agreement from the shareholders and regulators. Intel will buy McAfee’s (MFE) holding share stock at a rate of $48 per share which was around a 55% markup on the listed share price when the deal was announced on Wednesday, McAfee (MFE)  shares have now risen to near the value of the deal price at around $47 per share.

This latest acquisition by Intel follows the companies purchase of Wind River last year for a reported $884 million adding to the company a software company with a presence in the consumer electronics markets.