AMD is a company that has been strapped for cash lately. In late April, the Sunnyvale, CA based company announced that it would offer
Convertible Senior Notes to raise around $2.2 billion USD. AMD set a conversion
point of $42.12 USD per share at a time when its stock price was $14 USD.
The company's efforts to raise more cash have intensified
even further. Yesterday, AMD priced an additional $1.5 billion USD in
Convertible Senior Notes at a conversion point of $20.13 USD per share. The
conversion price represents a 50 percent premium over AMD's $13.42 USD stock price
at close of day on August 8.
AMD plans to use the funds received from the offering to pay an outstanding
balance on a loan from Morgan Stanley Senior Funding in late 2006. The company
borrowed around $2.5 billion USD in loans and $1.2 billion USD in common stock
to fund the $5.4
billion purchase of ATI Technologies. The company also reported a net loss of $600
million USD last quarter while archrival Intel
reported net income of $1.3 billion USD.
quote: Advantage because IBM/AMD (not only AMD!) process is clearly superior to the bulk process of Intel to the point of the SOI DSL without hi-k/metal of IBM/AMD at 65nm, is superior to Intel bulk hi-k/metal at 45nm, otherwise how could IBM manage to get ~5,0Ghz in a 17 stage pipeline DP chip with ~340mm2 at 65nm (>3x size of DP Penryn(107mm2) when Intel is claiming 3,3Ghz and launch top at 3,16Ghz 120W TDP!??...
quote: Get your products out into the market- then talk about them. -thats what IBM does- talk less work more.