Blackstone Inc (BX)

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Blackstone (BX) is trying to right its faltering chip business. The private equity firm hired Rich Beyer from semiconductor maker Intersil (ISIL) to take over as CEO of its Freescale unit. Beyer succeeds Michel Mayer, who took had run Freescale since 2004, when it was still part of Motorola (MOT). Motorola later spun off Freescale to shareholders, before Blackstone outbid Kohlberg Kravis for the company at the end of 2006.

Motorola’s handset business then imploded - an event that presents a problem for Freescale, which has counted on the Schaumburg, Ill., company for a substantial chunk of its revenue. Freescale’s loss in the fourth quarter ended Dec. 31 was $525 million, as sales fell to $1.54 billion from $1.62 billion a year earlier. Freescale’s slump has been compounded by the $17.6 billion Blackstone ended up paying for it - a premium price that added a hefty debt load to Freescale’s worries. As Fortune’s Adam Lashinsky wrote last year, the problems at Freescale are among a host of factors that have taken Blackstone’s stock price down 54% from last March’s post-IPO high.

For now, Freescale is promising the management change can revive the company’s fortunes. “With Freescale’s unparalleled technology base, superb management team, strong customer relationships and substantial financial resources,” Freescale said in a press release Wednesday, “Rich is well equipped to drive significant organic and acquisitive growth while continuing to improve profitability at Freescale.” Given Freescale’s big loss in the fourth quarter, improving profitability shouldn’t be hard.