AMD Completes Sale of Singapore Facility to HSBC
Done and dusted.
Late last month, AMD announced a proposed plan to sell off and lease back its Singapore facility. This week, the company announced that the sale of its AMD Singapore facility has been completed.
AMD this morning revealed that its Singapore subsidiary had completed the transaction to sell and lease back its facility to HSBC. According to AMD, the transaction has generated proceeds of up to $46 million (net of all fees), and AMD will record a gain of approximately $16 million related to the transaction for Q3 2013. Under the terms of the agreement, AMD Singapore will continue its operations in a portion of the Singapore facility under a 10-year sub-lease agreement with Sabana REIT.
The move is part of AMD's broader strategy to reduce investments and capital in non-core parts of the business. In March of this year, AMD entered into a transaction that saw the company sell its Austin, Texas campus to Southwest Parkway. AMD then leased it back on a 12-year agreement. That deal was said to generate approximately $164 million in cash for the chip maker.
AMD launched its Singapore subsidiary in 1984. In 2012, AMD Singapore switched from a high-volume manufacturing site to an engineering center. It currently employs approximately 500 people.
Follow Jane McEntegart @JaneMcEntegart. Follow us @tomshardware, on Facebook and on Google+.

circuit city's problem was it expanded so much it had most of it's extra capital tied up in property and not a large enough base of users as loyal as apple users to handle the loss of income in it's home territories as well.
apple is the exception, not the norm. a well placed virus and a few key marketing moves and microsoft could end up owning any apple stock not owned by apple employees.
but that would bring up that pesky anti trust legislation again at some point.
AMD was forcibly given access to intels code right up until P2 as part of such anti trust legislation from the 1980's as intel squashed and or ate the last of it's competitors.
now just what AMD is going to do with this freed up capital is something i am curious about, is it going to use it to continue to further fund current operations or invest in a memory controller or memory bus development or expand production facilities or upgrade other production facilities idk.
...
Spin to the contrary is a lie only fanboys can embrace.
Spin to the contrary is a lie only fanboys can embrace.
Are you saying you'd be okay with them going under and Intel being the only major CPU manufacturer? I, for one, wouldn't welcome this as lack of competition would only make it worse for consumers.