By Sabela Ojea
Intel said it is planning to separate its global venture capital arm, Intel Capital, to turn it into a standalone investment fund.
The chip maker on Tuesday said it will remain an investor in Intel Capital, founded in 1991 with over $5 billion in assets under management. The separation is expected to enable greater autonomy and provide flexibility to attract external capital.
The current Intel Capital team will move to the new company, and business operations will continue as normal throughout the transition.
The separation of Intel Capital is a win-win scenario, as it will provide the fund with access to new sources of capital to expand its franchise, Intel's Interim Co-Chief Executive and Finance Chief David Zinsner said.
"This step supports our broader strategy to maximize the value of our assets while driving greater focus and efficiency across the business," Zinsner said.
Intel Capital's standalone operations are expected to begin in the second half of the year. At that time, the fund will operate under a new name yet to be disclosed.
Write to Sabela Ojea at sabela.ojea@wsj.com; @sabelaojeaguix
(END) Dow Jones Newswires
01-14-25 1704ET