(Reuters) - Struggling U.S. chipmaker Intel ( INTC ) on Wednesday named former board member Lip-Bu Tan as its CEO effective March 18, more than two months after the it ousted company veteran Pat Gelsinger.

Tan, a well-respected semiconductor industry veteran, has long been seen as a CEO contender. He was approached by Intel's ( INTC ) board in December, Reuters had reported, to gauge his interest in taking up the job.

Shares of the company rose 11% in extended trading.

(Reporting by Bhanvi Satija in Bengaluru; Editing by Arun Koyyur)