A Wednesday, Feb. 18, meeting of Advanced Micro Devices shareholders approved a deal that clears the way for the formation of the Foundry Company, the organization that will build and run a $4.6 billion microchip manufacturing facility in Malta.
Just over 50 percent of the company's shareholders voted, with 94.47 percent approving of a deal with Abu Dhabi investment companies Advanced Technology Investment Company and Mubudala Development Company.
AMD had to delay the vote a week after it failed to for a quorum at a Tuesday, Feb. 10 shareholder meeting, where only 41.7 percent of the company's shares were accounted for.
The deal authorized the sale of 58 million shares of AMD stock, with 70 million more down the road, providing the ailing electronics company with a much-needed $6 billion in capital. In return, ATIC and Mubudala will get stakes in significant stakes in both AMD and Foundry.
The shareholder approval was the last of a number of steps necessary to create Foundry. According to AMD officials, the transaction is expected to close March 2.
We have now received all the necessary approvals to finalize our 'asset smart' transaction and move forward with the creation of The Foundry Company, said AMD spokesman Travis Bullard in a statement immediately following the vote.
Meanwhile, members of the Malta Planning Board have been reviewing the site plan for the facility, to be located at Luther Forest Technology Campus. Barring difficulties, they will issue a soil disturbance permit at a March 10 meeting, allowing work to begin on the site in late March. AMD says the plant will be operational in 2012, and is expected to employ 1,465.