❯ Altera Prepares Confidential $2 Billion-Plus IPO as AI Data Center Growth Shapes Its Valuation

IPO preparationAltera, the programmable-chip company backed by Silver Lake and Intel, is preparing a confidential IPO filing in the coming weeks that could raise more than $2 billion, Reuters reported. A listing could come as soon as this year, though timing and size may change.

UnderwritersSilver Lake has engaged four banks—Barclays, Citi, JPMorgan and Morgan Stanley—people familiar with the matter said. Altera serves data centers, telecom, industry, aerospace, defense and AI. Intel acquired it for about $16.7 billion in 2015 and later brought in Silver Lake; the parties have not confirmed the listing plan.

Valuation referenceThe deal would rank among the largest semiconductor IPOs since Arm raised nearly $5 billion in 2023. Public investors will have to value Altera’s incremental AI exposure separately: legacy businesses provide a base, but data center and AI growth will determine the offering’s support and trading multiple.

▪ SIGNALAltera is returning to public markets with an established chip business, but its AI data center revenue mix will determine whether it earns a higher multiple.