New board
Of course AMD is still better off to the tune of $1.8 billion, has lower overheads, and still owns a third of TFC. Given that its market cap is currently around $1.2 billion that looks like a great deal.
However AMD's market cap was three times that as recently as last September and was twenty times that in early 2006, so you could say that it's only AMD's low share price that makes it a good deal.
The conclusion of the deal also sees former CEO Hector Ruiz relinquish his role as chairman of the board at AMD in order to perform the same function at TFC. He is replaced as chairman by Bruce Clafin, who has been on the AMD board since 2003 and was head honcho at 3Com until 2006.
He is joined on the board by Waleed Al Mokarrab, COO of Mubadala Development Company, which has invested $125 million in AMD and in return got 58 million newly issued AMD shares of common stock and warrants for 35 million additional shares as well as the seat on the board. AMD currently has a total of 608.73 million shares.
