AMD completes spin-off of its assembly and test operations

— 2:00 PM on April 29, 2016

A few months ago, AMD announced that it was spinning off its chip assembly, test, mark, and pack (ATMP) operations into a joint venture with Nantong Fujitsu Microelectronics (NFME). The companies jointly announced the successful closure of that deal today. AMD will receive $371 million from NFME as part of the bargain. In exchange, NFME will get an 85% share of AMD's ATMP operations in Penang, Malaysia and Suzhou, China. AMD will retain a 15% stake in those businesses.

A worker tests chips at AMD's Suzhou facility

AMD CEO Lisa Su says the deal "marks another step in building a more focused AMD as we complete our transition to a fabless business model, enhance our supply chain operations, and further strengthen our financial position." After taxes and other expenses, the company will get a $320 million shot of cold, hard capital. It also expects the move will "significantly reduce" capital expenditures. AMD will continue to use the joint venture's ATMP services going forward.

Like what we're doing? Pay what you want to support TR and get nifty extra features.
Top contributors
1. BIF - $340 2. Ryu Connor - $250 3. mbutrovich - $250
4. YetAnotherGeek2 - $200 5. End User - $150 6. Captain Ned - $100
7. Anonymous Gerbil - $100 8. Bill Door - $100 9. ericfulmer - $100
10. dkanter - $100
Tip: You can use the A/Z keys to walk threads.
View options

This discussion is now closed.