Intel's $2.3 Billion Acquisition of Classiq Creates Long List of Beneficiaries

Intel is set to acquire Israeli quantum computing company Classiq for $2.2 to $2.3 billion, a deal that will generate significant returns for its founders, investors, and even some unexpected parties. The founders, Nir Minerbi, Yehuda Naveh, and Amir Naveh, are each expected to receive between $80 million and $100 million. Entree Capital, which holds approximately 15% of Classiq's shares, will receive over $300 million.

Unexpected beneficiaries include Intel's incoming CEO, Lip-Bu Tan, who personally invested in Classiq during its Series B funding round in early 2022. Tan, slated to become Intel CEO in 2025, invested alongside Harvey Jones, a veteran of the chip design industry. The exact amount of Tan's investment was not disclosed, but based on Classiq's valuation of around $333 million after the Series B round, his investment could yield a return of 6.6 to 6.9 times its value. Intel has stated that Tan was not involved in the acquisition discussions and that company procedures require him to recuse himself from investment decisions where he has a personal stake, following past concerns about conflicts of interest.

The acquisition also benefits savers in pension funds managed by Phoenix Insurance, Clal Insurance, and a fund established by former senior Shin Bet official Yaron Ashkenazi. Phoenix Insurance, which invested in Classiq during Series B and later in Series C in May 2025, holds an estimated 7% to 7.5% of the company's shares, valued at $150 million to $170 million in the deal. A portion of these holdings belongs to savers in pension funds and profit-sharing policies, potentially amounting to about $65 million for them, representing a 5.5-fold return on their investment.

Clal Insurance joined in Series C in 2025 with an investment of about $5 million, which is now valued at $16 million to $20 million in the deal, a 3 to 4-fold return. Awz Ventures, founded by Yaron Ashkenazi, also invested in Classiq during an extension of the Series B round in September 2022. While the investment amount is undisclosed, the return is estimated to be around 6 to 7 times the initial investment. The Israeli government is also expected to benefit from taxes on the acquisition, as Classiq is registered in Israel, unlike many companies that incorporate abroad to avoid such taxes.

Classiq, a leader in the Israeli quantum industry, employs about 150 people, many of whom hold options in the company. Intel has allocated over $100 million for retention bonuses for these employees. Awz Ventures, which manages approximately 2.5 billion shekels, also has investments in other tech companies, including cybersecurity unicorn Pentera. The fund's leadership includes former security officials like ex-IDF Chief of Staff Aviv Kochavi and former Mossad chief Tamir Pardo, with former Canadian Prime Minister Stephen Harper on its advisory board.