Mubadala-backed GlobalFoundries raises $2.6bn in US IPO

Asia's Tech News Daily

GlobalFoundries, the world’s third-largest semiconductor manufacturer owned by Abu Dhabi’s Mubadala Investment Company, raised nearly $2.6 billion in its initial public offering in the US amid strong demand from investors.

The New York-headquartered company set the IPO price at $47 per share, at the higher end of its targeted price range after marketing the shares for $42 to $47. This gives the company a market value of nearly $26 billion.

The company’s shares began trading on the Nasdaq Global Select Market on Thursday under the ticker symbol ‘GFS’.

Mubadala-backed GlobalFoundries raises $2.6bn in US IPO
Download our mobile app

“It is the big day for GlobalFoundries, Mubadala and Abu Dhabi. We created GlobalFoundries 12 years ago because we felt it was important to invest in the technologies of tomorrow,” Khaldoon Al Mubarak, chief executive and managing director of Mubadala Investment Company, told The National.

“GlobalFoundries’ semiconductors are vital for many of the technologies we rely on every day … including the chips in mobile phones, the smart devices in your home and the safety features in your car,” said Mr Al Mubarak.

GlobalFoundries, which aims to increase its production capacity by nearly 50 per cent in next three years to address the Covid-induced global chip shortage, sold nearly 55 million ordinary shares representing almost 10 per cent of its share capital. More than 30.2 million shares were offered by the semiconductor manufacturer and more than 24.7 million were offered by Mubadala.

Mubadala has also granted the underwriters a 30-day option to purchase up to an additional more than 8.2 million ordinary shares at the public offering price, less underwriting discounts and commissions.

The IPO was led by Morgan Stanley, Bank of America, JPMorgan, Citigroup and Credit Suisse Group.

Mubadala-backed GlobalFoundries raises $2.6bn in US IPO
© Provided by The National Khaldoon Al Mubarak, chief executive and managing director of Mubadala Investment Company, said GlobalFoundries’ semiconductors are vital for many of the technologies we rely on every day. Pawan Singh / The National

The listing in New York is a landmark transaction for a technology company backed by a sovereign wealth fund from the Middle East.

GlobalFoundries was established in 2009 after Mubadala acquired the semiconductor manufacturing assets of Advanced Micro Devices. After the acquisition, GlobalFoundries started making chips for other companies in addition to AMD.

In October 2014, GlobalFoundries acquired International Business Machines’ microelectronics division with manufacturing facilities in New York and Vermont, in a deal which added to its global footprint.

The company employs more than 15,000 people globally, has around 10,000 global patents and serves more than 200 customers worldwide, including the US government.

“Going public brings not only the new disciplines that come with an IPO but also a sign of the stature, stability and potential of GlobalFoundries,” Mr Al Mubarak said.

The listing of GlobalFoundries is the third largest on a US exchange this year by deal size. South Korea’s e-commerce company Coupang’s had a $4.5bn IPO and Chinese ride-hailing company DiDi Global’s listing raised $4.4bn, according to data compiled by Bloomberg. This doesn’t include blank-cheque and similar companies.

Technology megatrends, such as internet of things, 5G, cloud, artificial intelligence and next-generation automotive, are reshaping the semiconductors industry – a market that is expected to grow to more than $1 trillion by the end of this decade, from close to $500 billion this year, according to VLSI Research.

“Semiconductors have become ubiquitous, powering a broad range of applications from consumer devices to enterprise and industrial applications … semiconductor innovation is essential to the growth and development of many parts of the technology ecosystem,” GlobalFoundries said.

Mubadala-backed GlobalFoundries raises $2.6bn in US IPO
© Provided by The National Semiconductors market is expected to grow to more than $1 trillion by the end of this decade. Jeff Topping / The National

Since 2009, GlobalFoundries has invested more than $23bn to build a global manufacturing footprint with multiple facilities spread across the US, Germany and Singapore.

The company’s platforms are well-positioned in five key growth markets – smart mobile devices, home and industrial internet of things, communications infrastructure and data centres, automotive and personal computing.

Currently, there are only five foundries of significant scale – TSMC, Samsung, GlobalFoundries, Semiconductor Manufacturing International Corporation and United Microelectronics Corporation.

Collectively, these five entities accounted for the vast majority of worldwide foundry sales in 2020, according to Gartner. A semiconductor foundry, commonly called a fab, refers to a factory where devices like integrated circuits are manufactured.

Internet Explorer Channel Network
Asia's Tech News Daily
News Related

OTHER NEWS

Martin Lewis issues car insurance warning to all drivers ahead of January price change

Drivers are being encouraged to check their car insurance documents now ahead of new price walking rules from January – which could affect how much you pay each month. From ... Read more »

Number of children off school in England due to Covid sees sharp rise

The number of children off school in England due to Covid-related reasons has seen a sharp rise over the past two weeks, figures show. © The number of children off ... Read more »

Pfizer Has Best Month in 30 Years After Leading Vaccine Race

1 / 3Pfizer Has Best Month in 30 Years After Leading Vaccine Race (Bloomberg) — Pfizer Inc. closed out November trading with its best monthly advance in 30 years, as ... Read more »

Rallies planned as U.S. Supreme Court hears high-stakes abortion challenge

FILE PHOTO: The U.S. Supreme Court, Roe vs. Wade By Julia Harte (Reuters) – Pro-choice and anti-abortion activists will hold dueling rallies in front of the U.S. Supreme Court on ... Read more »

Essex mega-prisons pose threat to rare wildlife, warn environmentalists

Campaigners have criticised plans to develop two mega-prisons on the site of rare bird and amphibian habitat in England. © Provided by The Guardian Photograph: Joe Blossom/Alamy The government has ... Read more »

NHS asks for army to help with Covid booster vaccine drive

Military support sought to expand NHS Covid-19 jab booster scheme (PA) The NHS is seeking military aid to support the drive to more than double its Covid-19 vaccination booster rates, ... Read more »

Charles raises a toast to Barbados as it becomes a republic

Prince Charles raises a toast to Barbados and their new President Dame Sandra Mason as it becomes a republic. Charles is on the island as a representative of his mother ... Read more »

A total of 688 homeless people died in 2020, official figures show

A total of 688 deaths of homeless people were registered last year in England and Wales, including 13 deaths involving coronavirus, according to new estimates. It is the first time ... Read more »

What questions do you have about omicron in Kansas City?

The omicron variant—the latest mutation of the virus that causes COVID-19—has not arrived in Kansas City, but public health officials are preparing as case counts continue to rise in the ... Read more »

Global supply crunch pushes long-term shipping contract costs up 400%

Shipping containers at the Port of Felixstowe in Suffolk, England. Photo: PA Shipping industry officials told a committee on Wednesday that the global supply chain crunch has pushed long-term shipping ... Read more »

Omikron-Variante bei Basler Gymischüler nachgewiesen

© KEYSTONE/Ti-Press/ALESSANDRO CRINARI In der Schweiz ist am Mittwoch ein dritter Fall mit der von der WHO als besorgniserregend eingestuften Omikron-Variante des Coronavirus aufgetreten. Einer der Fälle betrifft einen doppelt ... Read more »

Omicron variant confirmed in Norway – two cases registered in Øygarden

Two cases of the omicron coronavirus variant have been confirmed in Øygarden Municipality. The two people who have been infected have been traveling in South Africa. Øygarden states that two ... Read more »

Mekanisma kawalan harga barang lembab, kata Anwar

© Provided by Free Malaysia Today Ketua Pembangkang Anwar Ibrahim meninjau pasar pagi dan bertemu peniaga di Kampung Kerinchi. (Gambar Facebook Anwar Ibrahim) PETALING JAYA: Ketua Pembangkang Anwar Ibrahim mendakwa ... Read more »

Vernon Kay ‘dips in and out' of watching wife Tess Daly host Strictly Come Dancing

© Bang Showbiz Vernon Kay ‘dips in and out’ of watching wife Tess Daly host Strictly Come Dancing Vernon Kay dips in and out of watching his wife present ‘Strictly ... Read more »

Portugal tightens restrictions despite virus vaccine success

The Associated PressWorkers get ready for the opening of a new vaccination center in Lisbon, Tuesday, Nov. 30, 2021. The new center, the biggest in the country, will open Wednesday, ... Read more »

China lashes out at Abe over former leader's Taiwan warning

The Associated PressFormer Japanese Prime Minister Shinzo Abe, seen on a screen, during a meeting in Taipei, Wednesday Dec. 1, 2021. China lashed out at Shinzo Abe Wednesday, Dec. 1, ... Read more »

Arsenal defender Gabriel fought off baseball bat-wielding thug in attempted robbery at his home

© Arsenal FC via Getty Images gabrielmagalhaesarsenal01122021A.jpg Arsenal defender Gabriel Magalhaes endured a terrifying ordeal during the summer as he fought off a bat-wielding robber who tried to steal his ... Read more »

Virgil Was Here: Louis Vuitton's bittersweet celebration of Abloh's legacy

© Stephane Mahe Designer Virgil Abloh died this week at the age of 41. Reuters Louis Vuitton has paid tribute to Virgil Abloh just days after his death, with a ... Read more »

Arnold Schwarzenegger heartbroken as his 'idol' who helped him become a star dies

© Carlos Alvarez/Getty Images Actor Arnold Schwarzenegger Terminator star Arnold Schwarzenegger has shared an emotional post thanking his ‘idol’ Dave Draper, who has died aged 79. The actor-turned-politician credited the ... Read more »

Amy Dowden feeling 'so much better' following Crohn's flare up

© Bang Showbiz Amy Dowden and Tom Fletcher on Strictly Come Dancing Amy Dowden is feeling “so much better” following her Crohn’s disease flare up. The ‘Strictly Come Dancing’ pro ... Read more »

Ballito Rage fest cancelled after positive COVID tests

© Kayleen Morgan/EWN FILE: Matriculants at the Rage festival party in Ballito. JOHANNESBURG – The Ballito Rage Festival has been cancelled. The annual end-of-year parties kicked off on Tuesday despite ... Read more »

Russia has been warned: So will NATO defend Ukraine?

© Provided by dw.com NATO Secretary General Jens Stoltenberg visits the NATO enhanced Forward Presence (eFP) battlegroup at the Ādaži Military Base, together with the Minister for Foreign Affairs of ... Read more »

Kes pertama varian Omicron dikesan di Arab Saudi

© Provided by Free Malaysia Today Jemaah tiba di Lapangan Terbang King Abdulaziz ketika musim haji pada Julai lalu. (Gambar AP) RIYADH: Arab Saudi merekodkan kes varian Omicron melibatkan seorang ... Read more »

Ethiopian gov't says it retook string of towns from Tigray forces

© Provided by Al Jazeera Ethiopian soldiers pictured during a military exercise in September [Amanuel Sileshi/AFP] The Ethiopian government says its forces recaptured Shewa Robit, a town some 220km (135 ... Read more »

Air travelers to US set to face tougher COVID-19 testing

The CDC will require travelers to show a negative COVID test taken within one day of departure before entry into the country. Reuters WASHINGTON – The U.S. is moving to ... Read more »

Lang Lang's pianist wife, Gina Alice Redlinger, on her first album and how it is inspired by Chinese art and culture

Gina Alice Redlinger’s debut album, Wonderworld is a compilation of 28 pieces of music, including classical, modern, Western, Chinese, jazz and movie tunes The German-Korean says moving to China after ... Read more »

Kremlin says Russia cannot de-escalate due to Ukrainian troop presence nearby

© Reuters/VALENTYN OGIRENKO The national flag of Ukraine flies over the town of Kramatorsk MOSCOW (Reuters) – The Kremlin said on Wednesday it could not de-escalate tensions with the West ... Read more »

Belarus's Lukashenko says annexed Crimea is legally Russian

© Provided by Al Jazeera Lukashenko, in power since 1994, has grown increasingly close to Moscow following a disputed 2020 presidential election [Nikolai Petrov/BelTA/Handout via Reuters] Belarusian President Alexander Lukashenko ... Read more »

Celebrity Gogglebox star quits after seeing 'enough male tackle for one lifetime'

Coronation Street icon Dame Maureen Lipman has sensationally quit Celebrity Gogglebox. The actress, who plays Evelyn in the ITV soap, announced on yesterday’s Loose Women that she won’t be returning ... Read more »

Irish Water issue 'boil water' notices for areas in two counties this week

Irish households and businesses in certain areas in Wexford and Longford have been warned to boil their water due to “a deterioration in the raw water quality.” First off, customers ... Read more »

China is mounting ‘large-scale' spying operations against UK, says MI6 chief

China is running “large scale” spying operations against the UK in a bid to distort public opinion and political decision making, the chief of MI6 has said. Richard Moore called ... Read more »

COVID-19 jabs in areas with low vaccination daily rate rise to 3x to 4x —DOH

© Danny Pata Over 500K vaccinated on first day of national vax drive The Department of Health (DOH) said Wednesday that the daily vaccination coverage in areas reported with low ... Read more »

Bukayo Saka in race to be fit for Arsenal's trip to Manchester United

© Provided by Daily Mail MailOnline logo Mikel Arteta will assess Bukayo Saka in training on Wednesday before making a decision on his availability for the trip to Manchester United. ... Read more »

Colorado Newspaper Apologizes For The Embarrassment That Is Boebert With Stinging Op-Ed

The Denver Post editorial board did what Rep. Lauren Boebert (R-Colo.) has so far refused to do and offered a sincere apology to Rep. Ilhan Omar (D-Minn.). The newspaper has ... Read more »

Lauren Boebert and Ilhan Omar Extend Feud After Phone Call and No ‘Direct Apology'

It appears that Rep. Lauren Boebert and Rep. Ilhan Omar will not be breaking bread anytime soon after a tense phone conversation about offensive comments made by the Colorado Republican ... Read more »

Panel: Judge should not have blocked expungement for manslaughter conviction

A Michigan Court of Appeals panel has overturned an Allegan County judge's decision in the case of a West Michigan man seeking to clear a fatal drunk driving incident from ... Read more »

Ditch your joggers for this chic and cosy M&S lounge dress

This chic item of loungewear has just dropped at M&S. (Marks & Spencer) Yahoo Life's editors are committed to independently selecting wonderful products at great prices for you. We may ... Read more »

Audi RS 6 Avant mit Bugatti-Veyron-Power hebt fast ab

Diashow ein 2022 Audi RS6 Avant auf 1.000 PS gestimmt 2022 Audi RS6 Avant auf 1.000 PS gestimmt 2022 Audi RS6 Avant auf 1.000 PS gestimmt 2022 Audi RS6 Avant ... Read more »

Nationalrat will Kohäsionsmilliarde nicht verdoppeln

© KEYSTONE/GAETAN BALLY Der Nationalrat will den Schweizer Erweiterungsbeitrag an die EU nicht verdoppeln. Die bürgerliche Mehrheit im Rat lehnte den entsprechenden Antrag der Aussenpolitischen Kommission (APK-N) am Mittwoch ab. ... Read more »

Why Britain needs to catch up on the new frontier of espionage

Just a few months ago, a group of hackers did something small, almost innocuous. They bought a stolen digital identity, known as a cookie, for £7.50. But that, by their ... Read more »
On free-english-test.com you will find lots of free English exam practice materials to help you improve your English skills: grammar, listening, reading, writing, ielts, toeic