Intel Corp to buy Altera Corp in US$16.7-billion deal

Intel agreed to buy Altera for US$16.7 billion. Intel said it would offer US$54 per share in cash, a 10.5 per cent premium to Altera\'s closing price on Friday.

Intel Corp agreed to buy Altera Corp for US$16.7 billion as the world\’s biggest chipmaker seeks to make up for slowing demand in the PC industry by expanding its line-up of higher-margin chips utilized in data centres.

By combining with Altera, Intel can bundle its processing chips with the smaller company\’s programmable chips, that are used, amongst other things, to speed up Web-searches.

Intel said hello would offer US$54 per share in cash, a ten.5 percent premium to Altera\’s closing price on Friday.