AMD’s $35bn Acquisition of Xilinx

By Sreeja Mamillapalli, Siddharth Tripurani, Aman Singla (New York University), Nathan Walemba (University of Oxford)

 

Overview of the deal


Acquirer: Advanced Micro Devices, Inc

Target: Xilinx Inc

Total Transaction Size: 35 Billion USD

Closed date: Q4 2021

Acquirer advisor: Morgan Stanley, Bank of America

Target advisor: Credit Suisse, DBO Partners


On Tuesday 27th October, Advanced Micro Devices Inc (AMD) agreed to buy Xilinx Inc in a $35 billion all-stock deal. This acquisition is expected to help AMD get the upper hand in the battle between Intel and themselves for the data centre chip market. Upon the deal completing, the expected cost synergies will be $300M within 18 months are the deal closes and AMD will have 76% and Xilinx the remaining 24%.


Company Details: Acquirer – Advanced Micro Devices


Advaced Micro Devices Inc (AMD) is a global semiconductor company with two main business segments being the computing & graphics segment and the Enterprise, Embedded and Semi-Custom segment.


Founded in 1969, headquartered in Santa Clara, United States CEO: Lisa Su

Number of Employees: 11,400

Market Cap: $93.8B

EV: $89.3B

LTM Revenue: $6.7B

LTM EBITDA: $724M

LTM EV/Revenue: 10.32

LTM EV/EBITDA: 62.5


Company Details: Target - Xilinx Inc


Xilinx is an American technology company focusing on developing cutting edge processing platforms. Xilinx are pioneers in their industry having invented the field-programmable gate array, programmable system-on-chips, and the adaptive compute acceleration platform.


Founded in 1984, headquartered in San Jose, United States

CEO: Victor Peng

Number of employees: 4,900

Market Cap: $30.1B</