One of the biggest shareholders of Advanced Micro Devices Inc. (AMD) said that it sold common shares of the semiconductor company, while planning to convert warrants into equity shares.
On Tuesday, Abu Dhabi’s sovereign wealth fund Mubadala Investment Co. said that it sold 34.9 million common equity shares in AMD. The state-owned fund also mentioned plans to convert 75 million warrants, which would provide $448.5 million to AMD (according to Mubadala Investment). The fund will retain a 6.9% stake in the company.
According to Mubadala spokesman Brian Lott’s statements to Abu Dhabi English news service The National, the fund’s latest transaction with AMD securities is part of its plan to encash mature holdings to generate “attractive commercial returns".
"We have had a long-standing relationship with AMD over the past decade and remain among the company's top shareholders”, Lott told The National. Mubadala Investment first invested in AMD in 2007.