AMD acquires chip maker Xilinx for $35bn in an all stock deal

AMD has bought fellow chip maker Xilinx in an all stock deal for $35bn which combines the two Silicon Valley companies.

Xilinx stockholders will receive 1.7234 shares of AMD stock for each Xilinx share they hold, which is around $143 per share of Xilinx stock.

AMD stockholders will then own around 74% of the combined company, with Xilinx stockholders owning approximately 26%.

AMD will now be able to compete more furiously against rival Intel.

The deal will be closed by the end of 2021, subject to approval by shareholders.