The company that was once a part of AMD's chip manufacturing business is now a fully independent organization. In a press release today, Globalfoundries announced that it has acquired the remaining 8.8 percent in stock that AMD owned in the company.
This move means that Globalfoundries is free of any direct AMD ownership. The company was first formed in 2009 after AMD decided to spin off its chip manufacturing division. However, AMD still kept an ownership stake in Globalfoundries, along with Abu Dhabi-based Advanced Technology Investment Company.
AMD has been lowering its stock ownership of Globalfoundries since that time and now that Globalfoundries is fully controlled by ATIC, it will be able to do more business with other companies. Indeed, it has already started to make chips for IBM at its newest plant in New York.
Even though AMD no longer owns any stock in the company, AMD will continue to be one of Globalfoundries' customers. In addition, AMD will pay the company $425 million over two years as part of the stock buyout agreement. Also, AMD won't have to pay Globalfoundries $430 million in 2012 as a result of a chip pricing renegotiation deal.