AMD delays Abu Dhabi spinoff vote

AMD plans to spin off its fabrication operations as a separate company

AMD has put off a shareholder vote on plans to spin off its fabrication operations as a separate company.

The chip giant said that it had rescheduled the planned 10 February vote to 18 February, saying that just 42 per cent of shareholders had so far issued votes on the proposal.

The deal was unveiled in October, and would see the Advanced Technology Investment Company of Abu Dhabi pay some $1.2bn (£845m) to take over AMD's fabrication operations under the title of The Foundry Company.

The new entity would then use AMD's fabrication plants in Germany, as well as a planned facility in New York, to produce chips for AMD and other firms.

The planned spinoff is part of AMD's ongoing efforts to overcome what has been a difficult stretch as it struggled with disappointing financial results in eight straight quarters.

The delayed vote is not expected to endanger approval of the spinoff plans. AMD said that, of the 42 per cent who had cast votes, 97 per cent were in favour of the deal.