AMD Buys ATI for $5.4 billion
Advanced Micro Devices Inc., (AMD), announced that it will acquire Canada-based graphics processing units and graphics cards supplier, ATI Technologies Inc., as preparation to get into a battle with currently number one supplier of computer processors, Intel Corp.
Under terms of the deal, AMD will acquire all of the outstanding common shares of ATI for $4.2 billion in cash and 57 million shares of AMD common stock, based on the number of shares of ATI common stock outstanding on July 21.
Although there have been talks of a tie-up between the two companies as early as May, industry analysts speculated that it made little financial or strategic sense for AMD to buy ATI right away.
Take into consideration that AMD is the maker of graphics chipsets for the Xbox 360 and the Nintendo Wii. This will be very interesting indeed.
Via reuters
Advanced Micro Devices Inc., (AMD), announced that it will acquire Canada-based graphics processing units and graphics cards supplier, ATI Technologies Inc., as preparation to get into a battle with currently number one supplier of computer processors, Intel Corp.
Under terms of the deal, AMD will acquire all of the outstanding common shares of ATI for $4.2 billion in cash and 57 million shares of AMD common stock, based on the number of shares of ATI common stock outstanding on July 21.
Although there have been talks of a tie-up between the two companies as early as May, industry analysts speculated that it made little financial or strategic sense for AMD to buy ATI right away.
Take into consideration that AMD is the maker of graphics chipsets for the Xbox 360 and the Nintendo Wii. This will be very interesting indeed.
Via reuters