- The stock price of Advanced Micro Devices, Inc. (NASDAQ: AMD) fell by 0.86% in the most recent trading session. This is why it happened.
The stock price of Advanced Micro Devices, Inc. (NASDAQ: AMD) fell by 0.86% in the most recent trading session. Investors appear to be responding to the progress status of the AMD and Xilinx acquisition.
AMD was originally planning to buy Xilinx for $35 billion and secure all of the approvals for the deal by the end of 2021. However, the process has not been completed yet and now the deal is expected to close in the first quarter of 2022.
Wedbush Securities analyst Matt Bryson said that regulatory bodies in China have been the limiting factor as they have not signed off on the deal. And Bryson is continuing to expect the deal will eventually be approved given “a lack of clear market concentration concerns.”
“We continue making good progress on the required regulatory approvals to close our transaction. While we had previously expected that we would secure all approvals by the end of 2021, we have not yet completed the process and we now expect the transaction to close in the first quarter of 2022. Our conversations with regulators continue to progress productively, and we expect to secure all required approvals,” said AMD and Xilinx in a joint statement.
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