Canyon Bridge, a private investment LLC and a believable codename for an Intel processor architecture, has just reached an agreement with Imagination Technologies to acquire most of their company. This deal is valued at £550 million GBP and does not include MIPS Technologies, Inc., which Imagination Technologies purchased on February 8th of 2013.
According to Anandtech, however, MIPS Technologies, Inc. will be purchased by Tallwood Venture Capital for $65 million USD.
The reason why Imagination Technologies is expected to be split in two like this is because purchasing CPU companies places you under national security review with the United States, and Canyon Bridge is backed by the Chinese government. As such, they can grab everything but the CPU division, which lets another party swoop in for a good price on the leftover.
That said, it is currently unclear what either company, Canyon Bridge Capital Partners or Tallwood Venture Capital, wants to do with Imagination Technologies or MIPS Technologies, Inc., respectively. When Canyon Bridge attempted to purchase Lattice Semiconductor last year, they mentioned that they were interested in their FPGAs, their “video connectivity” products (HDMI, MHL, etc.), and their wireless products (60 GHz, etc.). I would assume that they’re just picking up good technology deals, but it’s also possible that they’re looking into accelerated compute companies in particular.
There’s still a few barriers before the sale closes, but it’s looking like we’re not going to end up with Imagination just merging into an existing player or something.