Advanced Micro Devices acquired ATI Technologies Inc. for Approximately $5.4 billion, a transaction completed in October 2006, structured as Cash and stock — about $4.3 billion in cash plus 58 million AMD shares.
ATI Technologies Inc. operates in Graphics, chipsets and consumer electronics, is based in Markham/Toronto, Canada. AMD acquired ATI Technologies, a leader in graphics processors, chipsets and consumer electronics, to combine CPU and GPU expertise under one roof. The all-in value of roughly $5.4 billion was set against AMD's October 24, 2006 closing share price of $20.32. AMD funded the cash portion with existing balances plus a $2.5 billion term loan from Morgan Stanley Senior Funding.
Combining AMD's microprocessor leadership with ATI's graphics, chipset and consumer-electronics strengths to build integrated platform solutions and launch the 'Fusion' initiative for the industry's first integrated CPU/GPU silicon.
Graphics leadership, chipset portfolio, consumer-electronics IP
Today marks a historic day for our employees, our partners and our customers as we officially welcome ATI into the AMD family. On day one, we are delivering a winning set of complementary technologies, igniting a new level of innovation and continuing to champion choice for the industry.Hector Ruiz, Chairman and CEO, AMD
By driving innovation and integration in processing, especially in graphics, the new AMD has the potential to empower breakthrough computing experiences for users of Windows Vista.Jim Allchin, Co-President, Microsoft Platforms & Services Division
Advisory firms were not disclosed for this transaction.