GlobalFoundries Commands $25B Valuation For US IPO
- Mubadala Investment-backed GlobalFoundries (NASDAQ: GFS) chipmaker has set a price range of $42 - $47 a share, implying a valuation of ~$25 billion in its U.S. initial public offering.
- GlobalFoundries can raise maximum offering proceeds of ~$2.6 billion, according to a Reuters report.
- GlobalFoundries aims to list on the Nasdaq under the symbol "GFS."
- Mubadala, which is selling 22 million shares in the IPO, will retain an 89.4% stake in GlobalFoundries and control 89.4% of the voting power following the listing and the private placement.
- GlobalFoundries sees Q3 revenue at $1.7 billion, at the higher end of expectations, implying a 56% jump year-on-year.
- GlobalFoundries' revenue declined since 2018, but the growth rebounded over the past 12 months over surging demand for chips.
- Mubadala acquired Advanced Micro Devices Inc's (NASDAQ: AMD) manufacturing facilities in 2009 and later merged it with Singapore's Chartered Semiconductor Manufacturing Ltd to form GlobalFoundries.
- Related Content: Intel Said To Be Considering Buying GlobalFoundries In $30B Deal
© 2021 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
