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GlobalFoundries all grown upMENA

GlobalFoundries all grown up

Mubadala Investment Co, Abu Dhabi’s sovereign wealth fund that we all know and love, has begun discussions to take American semiconductor producer GlobalFoundries public on US markets via an IPO, at a value of $20b. The deal would be big, matching the $20b collectively raised this year by US tech IPOs.

GlobalFoundries is one of the world’s largest contract chip manufacturers. In 2009, Mubadala created GlobalFoundries after buying Advanced Micron Devices’ (AMD) manufacturing facilities and merging them with Singapore’s Chartered Semiconductor Manufacturing Ltd.

why it matters
Discussions to take GlobalFoundries public comes at an interesting time as the world faces an unprecedented global chip shortage. An unexpected surge in demand for electronics like smartphones and PCs amid the Covid-19 pandemic has sparked a near-term supply shock for the global semiconductor industry.