Home / / AMD spin-off plan approved by shareholders

AMD spin-off plan approved by shareholders

Just over 50% of shareholders voted on the landmark Abu Dhabi deal

Advanced Micro Devices shareholders have approved a joint venture with technology investment firm Advanced Technology Investment Company (ATIC), owned by the government of Abu Dhabi.

The news comes a week after AMD failed to get a majority of voters needed to rule on the decision. At the time, only 42% of the company’s shareholders voted, of which 97% were in favour of the deal.

On Wednesday, AMD reported that just over 50% of shareholders voted in the landmark meeting, with 94% supporting the joint venture known as ‘The Foundry Company’. Both companies now expect to close the deal by March 2nd.

The Foundry Company will be headquartered in Silicon Valley with R&D and manufacturing teams in New York, Dresden and Austin.

Shareholders also gave the go-ahead for issuing 58 million AMD common shares to Mubadala Development Co., a joint stock company whose sole shareholder is the Abu Dhabi government.

This brings Mubadala’s stake in AMD to more than 16%, with the company also being offered warrants of 35 million more shares if desired.

Follow us to get the most comprehensive IT business news delivered fresh from our social media accounts on Facebook, Twitter, Youtube, and listen to our Weekly Podcast. Click here to sign up for our weekly newsletter on curated technology news in the Middle East and Worldwide.

REGISTER NOW | Webinar Event | Security you can bank on – Safeguarding the Middle East’s financial sector

Presented in partnership with security and network specialist Cybereason, the second in the three part webinar series will bring together a panel of experts to discuss how banks and financial institutions are evolving their service offering while simultaneously staying one step ahead of the cyber criminals who seek to bring their operations crashing to the ground.