INGATE

From The Sip Trunking Experts

TMCNet:  Mubadala Reinvests in AMD to Maintain Liquidity

[December 04, 2012]

Mubadala Reinvests in AMD to Maintain Liquidity

(Benzinga Lightning Feed Via Acquire Media NewsEdge) Stock in Advanced Micro Devices, Inc. (NYSE: AMD), the second-largest maker of personal computer processors, traded higher Monday and today after its largest shareholder took steps to avert a potential cash shortfall.


Mubadala Development Company, the investment arm of the government of Abu Dhabi, increased its share of AMD by 19 percent and took an extra board seat last month, in a move that positions the company to bail out AMD should their cash reserves dip too low.

Mubadala became AMD's largest shareholder back in 2008, and bought AMD's manufacturing facilities in order to create GlobalFoundries, a made-to-order semiconductor producer that now has AMD as one of its largest customers.

AMD shares have lost about 56 percent so far this year, and concerns about the company's volatility continue amidst the recent gains facilitated in part by Mubadala. On Monday, AMD stock closed at $2.36 per share, the company's highest since October 18th, but analysts remain cautious.

In October, AMD forecasted fourth quarter sales numbers below analysts' predictions, and cited weak demand in all of their product lines as the driving force behind cutting 15 percent of their staff. Revenue projections put the company on track to experience its fourth consecutive quarterly sales decline, which has led analysts to believe that AMD's cash reserves will fail at some point in the near future.

To boost cash reserves, AMD announced last week that it will sell facilities in Austin, Texas in an effort to raise between $150 million to $200 million. The company is expected to close the deal in the first quarter. After selling the space, AMD plans to lease it back.

Mubadala now has a 15 percent stake in AMD, and unexercised warrants for additional stock purchases bring its total holdings to about 19 percent. Its latest re-investment in the company has helped ease concerns about AMD's liquidity, and at the time of this writing AMD's stock had risen an additional five percent since yesterday's strong close.

(c) 2012 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

[ Back To SIP Trunking Home's Homepage ]

Loading
Subscribe here for your FREE
SIP TRUNKING enewslettter.

Featured Partner


Featured Whitepapers

SIP Security for the Enterprise
Voice over IP (VoIP) is incorporated into a variety of computer networks, both public and private, and used for everyday transactions and communications among carriers, businesses, government agencies...

Making A Broadband Purchase Decision
Businesses today have many options for broadband connectivity. Clarifying your particular business needs prior to selecting a broadband provider will ensure an optimal match of broadband service to your requirements.

Voice-Optimized Network Delivers Premier Call Experience
Customers equate call quality with business quality. Real-time communication, interpersonal interaction, and the cordial tone of a call center representative can create a positive impression of your business that no email can match.

Featured Case Studies

Business Telecom Expenses Reduced 50%
A small to medium sized company in the midwest was interested in migrating to IP Communications, but in today's economy, they were hesitant to upgrade their communication system due to their perception that the cost would outweigh the benefits.

Multi-State Company Cuts Telecom Costs 50%
A multi-site, multi-state company with extensive monthly long distance fees and toll-free charges did not have adequate broadband for Broadvox SIP Trunking requirements, nor did they have a SIP enabled telephone system.

Discover Leisure Connects Remote Users to its IP-PBX
Discover Leisure is one of the largest resellers of caravans and motor homes in the UK. With 15 branch of?ces all over the country, the company spent a great deal of money every month just on internal phone calls.

Featured eBOOKS

Internet+: The Way Toward Global Unified Communication
Connecting the telephony of the enterprise PBX or Unified Communications (UC) system using SIP trunks instead of conventional telephone lines has been very successful in recent years.

What is SIP Trunking? Edition 2
SIP trunking is becoming more of a focus for service providers. One key issue many service providers face when deploying SIP trunks is NAT, or Network Address Translation, traversal.

What is SIP Trunking? Edition 1
A vast resource for information about all things SIP - including SIP, security, VoIP, SIP trunking and Unified Communications.

Featured Videos

Broadvox VAR Testimonial VAR 1:
Part 1 of the VAR (Value Added Reseller) Partner Program Testimonials for Broadvox...

E-SBCs AS The Demarcation Point:
Ingate's Steve Johnson talks to Erik Linask about the role session border controller plays as the demarcation point at...

Demystifying DPI
How can deep packet inspection protect your SIP traffic as well as your entire network?

Featured Resources

Partner Program Overview:
Over 4,000 VARs, Master Agents, Solution Providers, and Independent IT Professionals trust Broadvox. We offer customized services and solutions to fit seamlessly into any company's business model. And when you partner with Broadvox, every member of our team stands behind you and your customers 100%...

SIP Trunk UC Summit

What's New

Presenting the New Ingate/Intertex Website:
Internet+ is an extended Internet access allowing high quality SIP (Session Initiation Protocol) based real-time person-to-person communication, everywhere and for any application. It applies to both fixed and mobile networks ...

Featured Blogs

Featured Webinars

Secure SIP Trunking:
What You Need to Know

Successfully Deploying Enterprise SIP Trunking:
Tools and Techniques for Overcoming Common Roadblocks

Featured Podcasts

Getting the Most Out of Your SIP Trunks:
Ingate's Steve Johnson and TMC's Erik Linask discuss how best practices forgetting the most out of SIP Trunking services and common pitfalls to avoid.

Featured Datasheets

Ingate SIParator E-SBCs
Adopting SIP is a simple process with the Ingate SIParator, the secure enterprise session border controller (E-SBC). The SIParator makes secure SIP communications - including VoIP,SIP trunking and more - possible while working seamlessly with your existing network firewall.

Ingate Firewalls
Everyone is talking about enterprise usage of VoIP, instant messaging and other types of realtime communications including presence and conferencing.

SIP Trunk Solutions for Service Providers
The award-winning Ingate Firewall and Ingate SIParator deliver a high quality, reliable SIP trunk connection between the customer's IP-PBX and the service provider network, and solve interoperability issues to simplify deployments and support for remote diagnosis of reported issues.