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AMD wanted to sell Dresden fab - but investors said no

Posted on Thursday, July 19 2007 @ 12:19:18 CEST by

According to a story from FUDZilla, AMD considered selling its fab in Dresden but the investors said no to such a deal.
AMD is in real cash crisis probably the worst one in the history of the company. It is not the acquisition of ATI that caused it, it is because its Barcelona is heavily delayed and that the average selling price of CPUs really went to toilet and Intel has clearly better product on market for almost a year now.

AMD even consider selling its Dresden FAB, at least part of it if not both of them to TSMC and the Taiwanese chip semiconductor manufacturer was interested but the investors said the big no to such a deal.

If AMD would sell Dresden than it would not have any property that could be sold in case that company goes down and AMD is already billions in debts as we speak. So no assets means that company value is really questionable and Morgan Stanley and some other financial houses who helped AMD to find the money to buy ATI in the first place vetoed such a deal.



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