AMD will split in two company

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POSTER: computer news   ||   AMD WILL SPLIT IN TWO COMPANY	DATE:2008-10-07
Rumors about the separation of AMD company AMD in two parts are available for a while, one AMD part will be concentrated on developments, and the second will release product at its own factories . Recently AMD management recognized the sale possibility of two factories for processors production , located in Dresden, in Germany. It is considered that similar production transformation will become a part of strategy asset smart. AMD factories actually will go with a new structure under the administration of Hector Ruiz and Dag Grose . Three thousand colleagues from the 16 000 men, who worked for AMD, will pass to this new company, which will be called The foundry company. It will release chips for AMD and strange producers. The investment Of advanced technology investment Co. (ATIC) from the capital Of UNITED Arab emirates corresponds to 55,6% of actions, remaining part will remain in AMD property . The Arab investors will put during the first stage   $2,1 billion, from whom $1,4 billion will become the working capital of the new company, and $700 mln. will go away from AMD. In Arab investors plans enters further financing Of foundry Co. from $3,6 to $6 billion - this volume will be spent during the period of approximately five years. Investments will be spent both on the modernization of Dresden factories and building fab 4X in New York state  ,  USA. Simultaneously, Foundry Co. herits some AMD bills : $1,2 billion. The Company mubadala development Co. from THE UNITED ARAB EMIRATES, already manage 8,1% of AMD actions , they are assembled to increase their portion to 19,3%. This Company will purchase 58 mln of the newly released AMD actions for $314 mln., and also will obtain the guarantees to purchase additional  30 mln actions in the future. Mubadala will obtain the right to select its representative in AMD directors  . All these Proceedings argument already answered to increase in AMD actions AMD by 6,6%. According to some estimation this conversion, separation of factories from AMD must improve the financial state of company. Official details about the transaction will be published in several hours. Related Products :

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