American chipmaker Advanced Micro Devices Inc (AMD) is buying rival Xilinx Inc for $ 35 billion under a deal that it will be paid for in full by AMD shares.<\/p>\n
According to a press release from AMD, the operation will create a company worth about $ 135 billion.<\/p>\n
“The acquisition of Xilinx will allow AMD to significantly expand its product portfolio as well as its customer base in a number of growing markets, where Xilinx is a recognized leader,” AMD said.<\/p>\n
Under the terms of the deal, Xilinx shareholders will receive 1.7234 shares of AMD shares for each of the company’s shares, valued at approximately $ 143 per share of Xilinx.<\/p>\n
As said in a press release, AMD expects that the agreement will be subject to reorganization, not taxable under US law.<\/p>\n
The acquisition of Xilinx is expected to save AMD $ 300 million within 18 months of closing the deal.<\/p>\n
The boards of directors of AMD and Xilinx supported the agreement, and its completion requires the approval of shareholders of both companies, as well as regulators. The parties hope to be able to close it by the end of 2021.<\/p>\n
The agreement between AMD and Xilinx is one of the largest in the field of semiconductor components, where there has been a rapid consolidation recently. AMD has a market capitalization of $ 96 billion. Since the beginning of 2020, it has increased by 79% due to growing demand for PCs, game consoles and other devices that use AMD chips, amid the crisis caused by the coronavirus pandemic. Xilinx’s market value is about $ 29 billion, the company’s stock has risen 17% this year.<\/p>\n
Shares of AMD lost 4.4% in the previous trading on Tuesday, Xilinx increased by 10%.<\/p>\n","protected":false},"featured_media":124381,"menu_order":0,"template":"","newscat":[9],"newstag":[29408,26538,26360,29878,24933,24936],"issues":[],"class_list":["post-124380","news","type-news","status-publish","has-post-thumbnail","hentry","newscat-novosti","newstag-advanced-micro-devices-inc","newstag-amd","newstag-coronavirus-pandemic","newstag-xilinx","newstag-pandemyya-koronavyrusa","newstag-pandemiya-koronavirusu"],"_links":{"self":[{"href":"https:\/\/ldaily.ua\/en\/wp-json\/wp\/v2\/news\/124380","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ldaily.ua\/en\/wp-json\/wp\/v2\/news"}],"about":[{"href":"https:\/\/ldaily.ua\/en\/wp-json\/wp\/v2\/types\/news"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/ldaily.ua\/en\/wp-json\/wp\/v2\/media\/124381"}],"wp:attachment":[{"href":"https:\/\/ldaily.ua\/en\/wp-json\/wp\/v2\/media?parent=124380"}],"wp:term":[{"taxonomy":"newscat","embeddable":true,"href":"https:\/\/ldaily.ua\/en\/wp-json\/wp\/v2\/newscat?post=124380"},{"taxonomy":"newstag","embeddable":true,"href":"https:\/\/ldaily.ua\/en\/wp-json\/wp\/v2\/newstag?post=124380"},{"taxonomy":"issues","embeddable":true,"href":"https:\/\/ldaily.ua\/en\/wp-json\/wp\/v2\/issues?post=124380"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}