Middle East fund sells AMD stocks for $430 million | remains the third largest shareholder

Since the financial data for the two quarters of this year are very good, coupled with the delay of the old rival Intel's 10nm process, AMD's share price has risen this year, from $12 at the beginning of the year to around $18. The upswing is also a good opportunity for shareholders to cash out. AMD's major shareholder Mubadala Investment Fund sold 22 million AMD shares a few days ago, cashing about $430 million, but Mubadala Investment Fund still holds AMD's 3.6%. Stock, or the third largest shareholder.

Mubadala Investment Fund is an investment company owned by the UAE government. It has investments in more than 30 countries around the world. It is active in 13 industries including aerospace, information and communication technology, petrochemicals, energy, real estate, medical, etc. It is a major focus of their investment.

Speaking of AMD, Mubadala Investment Fund has a close relationship with AMD. In 2006, AMD acquired ATI and spent 5.4 billion US dollars. This investment is not small for AMD, which was not rich in the year, so AMD followed in 2007. Mubadala Investment Corporation reached an investment agreement to sell 49 million AMD shares to Mubadala Investment, valued at $622 million, while the latter received approximately 8.1% of AMD's shares and AMD's net income was approximately 6.08 Billion dollars, this money is mainly used for subsequent products.

In 2009, AMD split the semiconductor manufacturing business. In the same way, it cooperated with the Mubadala Investment Fund to establish Globalfoundries. At that time, AMD also held a 44% stake. However, AMD has been reducing its stake in GF. In 2012, the last 8.8% stake was sold, and GF became a wholly-owned subsidiary of Mubadala Investment Fund.

As for AMD, Mubadala has at most 13% of AMD's shares, the largest shareholder, but Mubadala has been reducing AMD shares in recent years, especially after AMD's share price surged in 2017. In March last year, in August, AMD stocks were sold in large quantities for two consecutive times, respectively, to cash in 610 million US dollars, 530 million US dollars, and the shareholding ratio fell to 5%.

On July 30 this year, Mubadala Investment Fund once again sold 22 million AMD shares, cashing about 430 million US dollars, the current shareholding ratio fell to 3.6%, but still the third largest shareholder of AMD, the first two are holding 10.32% of the Pioneer Fund, holding 4.65% of the Blackstone Investment Fund.

Judging from the change in equity, this year, AMD's stock price has risen. Many shareholders are selling stocks more or less, and cash is high. Mubadala Investment Fund also said that the sale of AMD stock is the company's investment. Part of the plan, Mubadala has been a long-term holder of AMD stock for the past decade, and this deal is in line with the company's investment strategy.

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