IT LOOKS LIKE ATIC, one of the parents of GlobalFoundries, made a bid to buy Chartered Semiconductor. The deal has been rumored for some time, and it is now official.
The move is a great one for both sides. and will almost assuredly mean Chartered will be merged with GlobalFoundries in short order. That will bring GlobalFoundries a lot of things it needs – libraries, older processes, customers, and customer support infrastructure. For Chartered, it is cash, stability, and technology nodes that it otherwise would be hard pressed to develop.
Overall, the deal is worth $3.9 billion, $1.9 billion in cash, the rest in debt and shares. This represents a 14.2% premium over the 30-day trading average for Chartered. Compared with its standalone future, this is a very good deal for shareholders.
ATIC buying Chartered is a huge win for GlobalFoundries, and it fills several of the largest gaps in the company’s portfolio. GlobalFoundries also gets a second fab, and is handed customers that it likely would have had a hard fight to bring in otherwise. You can read the details here.S|A
Latest posts by Charlie Demerjian (see all)
- AMD manages to make the Ryzen 7040U look worse than it is - May 4, 2023
- Is Microsoft looking to buy silicon expertise? - Apr 3, 2023
- Intel updates roadmaps at Analyst Day 2023 - Mar 29, 2023
- Intel’s Emerald Rapids has a big secret - Mar 27, 2023
- Raja Koduri and Dr. Randhir Thakur out at Intel - Mar 21, 2023