Yazılar

Private Equity Investor Adebayo Ogunlesi Joins OpenAI’s Board

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OpenAI announced on Tuesday that Adebayo Ogunlesi, a prominent private equity veteran and current CEO of Global Infrastructure Partners (GIP), has joined its board of directors. Ogunlesi, 71, will advise the AI company on securing the infrastructure necessary to further advance its artificial intelligence development.

GIP, a private equity firm founded in 2006, specializes in infrastructure investments, managing more than $100 billion in assets. The firm’s portfolio includes high-profile assets such as Gatwick Airport, the Port of Melbourne, and significant offshore wind projects. Last year, BlackRock acquired GIP for $12.5 billion.

AI infrastructure has become a crucial element in the race for AI dominance, with the success of AI technologies heavily reliant on the ability to build and maintain vast compute infrastructures. This typically involves specialized data centers that link thousands of chips in clusters to process data at scale. According to projections, tech giants like Amazon, Microsoft, Alphabet, Meta, and Apple will spend over $200 billion on capital expenditures related to AI infrastructure in 2025, nearly double the amount spent in 2021.

OpenAI has also been advocating for U.S. government policies that would support the country’s AI initiatives, aiming to ensure that investments in AI remain within the U.S. to prevent China-backed projects from gaining an upper hand in global influence. OpenAI’s recent policy proposals highlight the estimated $175 billion waiting to be invested in AI projects, warning that failure to attract these funds could result in them flowing to China.

 

Bain Capital Raises Offer for Fuji Soft, Outbids KKR

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Bain Capital, a prominent U.S. private equity firm, has increased its offer for Japan’s Fuji Soft to ¥9,600 ($62.88) per share, surpassing KKR’s latest bid by 1.6%, according to an announcement on Wednesday. This escalates the ongoing battle between Bain and rival KKR for control of the $4 billion software company.

The competition began in August when KKR launched a ¥8,800 per share tender offer, later raising it to ¥9,451 to counter Bain’s earlier bid of ¥9,450. Bain’s latest move reflects the intense rivalry, driven by Japan’s rising appeal as a hub for mergers and acquisitions (M&A).

SUPPORT FROM FUJI SOFT MANAGEMENT

Despite Bain’s revised bid, Fuji Soft’s management has maintained its support for KKR, citing strategic concerns. KKR structured its offer into two stages, first acquiring a 34% stake—enough to block a potential Bain-led privatization—before proceeding toward a majority stake.

Last month, Fuji Soft rejected Bain’s bid, arguing that KKR’s partial acquisition rendered Bain’s offer unviable. Management also demanded that Bain destroy the sensitive company information obtained during due diligence and refrain from further proposals.

Bain, however, has criticized these actions, claiming they disregard shareholder interests. The firm reiterated its intent to use the information gathered to proceed with its tender offer as soon as possible, emphasizing its commitment to shareholder value.

JAPAN’S GROWING M&A MARKET

This bidding war highlights Japan’s growing status as a hotspot for private equity deals. Inbound M&A activity in the country reached a record $81 billion in the first ten months of 2023, a 17-fold increase from the same period last year, according to LSEG data.

The outcome of the Fuji Soft deal could set a precedent for future investments in Japan’s evolving corporate landscape, where private equity interest continues to rise.

Intel Seeks Billions for Minority Stake in Altera Business, Sources Say

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Intel is reportedly exploring the sale of a minority stake in its Altera business, aiming to raise several billion dollars in much-needed cash as it seeks to stabilize its financial position. According to sources familiar with the discussions, Intel is pursuing a deal that values Altera at around $17 billion, close to the $16.7 billion it paid to acquire the company in 2015.

This potential sale marks a significant strategic shift for Intel, especially since CEO Pat Gelsinger had recently stated that Altera was considered a core part of the company’s future. However, after experiencing a sharp decline in stock price and a prolonged period of losing market share, Intel has been forced to consider dramatic actions to turn things around.

The company has approached private equity firms and other strategic investors about a possible stake in Altera, with some investors being offered the opportunity to acquire a majority interest, according to the sources. Intel’s representatives have declined to comment on the reports.

Intel had previously hinted at plans to monetize the Altera unit through an initial public offering (IPO), potentially in 2026. However, these recent developments suggest that the company may accelerate those plans in order to raise capital more quickly. A sale of this magnitude could provide Intel with the resources to focus on its broader ambitions, particularly in semiconductor manufacturing, and demonstrate to investors that it can remain competitive as an independent entity.

The potential sale comes amid heightened competition within the semiconductor industry. Rival companies such as Qualcomm have reportedly expressed interest in acquiring Intel, although such a deal would likely face significant regulatory scrutiny and could reshape the landscape of the semiconductor market.

Intel has faced numerous challenges in recent years, including a 50% drop in its stock price this year alone. The company has struggled to keep pace with competitors like Nvidia, which has gained significant ground in the artificial intelligence (AI) chip market, and Advanced Micro Devices (AMD), which continues to erode Intel’s market share in both the PC and data center sectors.

As Intel seeks to reestablish its position in the industry, the potential sale of a stake in Altera could represent a pivotal move in its broader recovery strategy.