We knew it was going to happen, and now, it's a done deal. AMD says it "has entered an agreement" to sell its Austin, Texas campus in exchange for about $164 million in cash. The chipmaker will lease back the campus back from the new owners, real-estate investment firm Spear Street Capital.
AMD also has offices in other locations, including Sunnyvale, California and Markham, Ontario. The former is home to the company's corporate headquarters, and the latter is where ATI was based before its acquisition in 2006. (AMD's graphics team continues to reside there.) To my knowledge, though, the Lone Star Campus in Austin is the biggest of the three, and it's where the bulk of the chipmaker's activities go down. 1,900 people are employed there.
According to AMD, the sale of the Lone Star Campus will close on March 26, and the proceeds will show up in the company's first-quarter earnings report. So will a "special" $50-million charge, which AMD says is "primarily related to the difference between the sale proceeds and the carrying value of the property."
This isn't the first campus AMD has pawned off. The company sold its Sunnyvale campus back in 1998, and it did the same with the Markham campus in 2008. AMD is still leasing both properties.