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AMD Closes Transaction to Sell and Lease-back Austin Campus

Discussion in 'News' started by btarunr, Mar 27, 2013.

  1. btarunr

    btarunr Editor & Senior Moderator Staff Member

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    AMD (NYSE: AMD) today announced the successful closing of its transaction with 7171 Southwest Parkway Holdings, LP to sell and lease-back the company's "Lone Star Campus" located at 7171 Southwest Parkway in Austin, Texas. The transaction generated proceeds of approximately $164 million in cash, net of all fees, which will be reflected in the company's first quarter 2013 financial statements when reported on Apr. 18, 2013.

    As a part of the agreement, AMD has entered into a 12-year sublease agreement with Lantana HP, Ltd. with an extension option to continue its operations on the Lone Star Campus. 7171 Southwest Parkway Holdings, LP is an affiliate entity of real estate investment company Spear Street Capital. Lantana HP, Ltd. is an affiliate entity of HPI Real Estate Services and Investments.
     
  2. johnnyfiive

    johnnyfiive

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    This is good news for AMD stock holders and fans like myself.
     
  3. Jorge

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    This generates cash that can be used for other activities. I don't know that AMD stock holders will see anything specific from this transaction however.
     
  4. nt300

    nt300

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    Some of that cash better go to steamroller and then excavator CPU designs to get them out as soo n as possible. This will also help AMD generate cash.
     
  5. Ravenas

    Ravenas

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    I'm willing to bet the CEO of AMD has an ownership stake in the building itself and will sell it back to AMD when the company recovers from this mess they have gotten themselves in to.
     

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