News
 

Bookmark and Share

(25) 

Advanced Micro Devices and ATI Technologies are expected to announce the deal, under which the former is to acquire the latter for $5.5 or $5.6 billion. The deal may be announced in just a few days, according to reports.

The board of directors at Sunnyvale, California-based AMD have approved a takeover offer, according to an investment banker familiar with the talks, claims The Globe and Mail news-paper. Other sources in the financial industry said AMD executives have been spotted at ATI’s Markham, Ontario head office, the same source reports.

”There has been considerable industry speculation that AMD may pursue an acquisition of ATI Technologies, although such an outcome is by no means certain,” said a report this week for analyst Eric Gomberg at investment bank Thomas Weisel Partners ”In light of AMD's technology road map, and specifically its Torrenza technology, we believe that such a merger would not be so far fetched”.

Thomas Weisel Partners company estimates that AMD would make an offer at a 20-to-40% premium to ATI’s current share price, which yields into $5.5 or $5.6 billion.

The merge between two companies has been discussed for about two months now. There are lot of advantages for AMD to acquire a company like ATI, while the latter will also get certain benefits from such an acquisition, there are also drawbacks associated with such a union.

X-bit labs recently polled some industry sources, who said that the deal would happen for sure, and also released an analysis of the outcome of the deal.

Neither AMD, nor ATI commented on the information.

Discussion

Comments currently: 25
Discussion started: 07/22/06 01:14:51 AM
Latest comment: 08/25/06 01:33:26 PM

[1-2]

1. 
Well i am wondering what happens to ATI relationship with Intel. Intel has given alot of support to ATI. If you look at IDF , Computex 2006 and other expo , you see Conore Gaming Machine having ATI Crossfire setup. ATI also scored some deals of production of Intel's Motherboards and other exclusive deal with various Intel sector.
0 0 [Posted by:  | Date: 07/22/06 01:47:16 AM]
Reply

2. 
This is horrible news. I am disappointed. Everything is going to be screwed up now.
0 0 [Posted by:  | Date: 07/22/06 10:01:08 PM]
Reply

[1-2]

Add your Comment




Related news

Latest News

Sunday, August 24, 2014

6:12 pm | Former X-Bit Labs Editor Aims to Wed Tabletop Games with Mobile Platforms. Game Master Wants to Become a New World of Warcraft

Thursday, August 21, 2014

10:59 pm | Khronos Group to Follow DirectX 12 with Cross-Platform Low-Level API. Khronos Unveils Next-Generation OpenGL Initiative

10:33 pm | Avexir Readies 3.40GHz DDR4 Memory Modules. DDR4 Could Hit 3.40GHz This Year

12:10 pm | AMD to Lower Prices of A-Series APUs for Back-to-School Season. New Prices of AMD A-Series APUs Revealed

Wednesday, August 20, 2014

10:53 am | AMD to Cut Prices on FX-9000, Other FX Processors: New Prices Revealed. AMD to Make FX Chips More Affordable, Discontinue Low-End Models

10:32 am | LG to Introduce World’s First Curved 21:9 Ultra-Wide Display. LG Brings Curved Displays to Gamers, Professionals

9:59 am | AMD Readies FX-8370, FX-8370E Microprocessors. AMD Preps Two New “Mainstream” FX Chips