Now it seems Mubadala is considering to get rid of all or parts of the chip maker in a transaction that could value the business at $15 billion to $20 billion. Bloomberg heard the state-owned investment arm held early with potential acquirers, but the site acknowleges that no final decision has been made and discussions could still fall apart.
Abu Dhabi is reviewing state-owned companies, including Mubadala, for potential asset sales, as the slump in crude oil pressures the emirate’s finances, people familiar with the matter said last month. The emirate had a long-term plan to build a chip factory there to diversify its economy away from a dependence on oil.
The company’s also been investing. In October, Globalfoundries acquired International Business Machines Corp.’s chip unit, with IBM paying them $1.5 billion to take the unprofitable business off its hands. The same month, Mubadala formed a joint venture with Trafigura Beheer BV to take a 50 percent stake in three Spanish mines.