AMD’s planned acquisition of FPGA maker Xilinx is now in the hands of Chinese regulators after needed antitrust approvals for the $35 billion deal were received from the European Commission (EC) and from the UK government this week.
The acquisition, which was announced in October of 2020, already received needed reviews and approvals from a wide swath of other governments around the world and was still awaiting action from the EC, the UK and China.
In a Form 8-K filing with the U.S. Securities & Exchange Commission on June 29 (Tuesday), AMD stated that it received final approval for the deal from the UK’s Competition and Markets Authority on June 29 and approvals from the European Commission on June 30.
“These latest approvals follow regulatory approvals from Turkey’s Competition Authority, Taiwan’s Fair Trade Commission (TFTC), Korea’s Fair Trade Commission (KFTC), the Australian Competition and Consumer Commission (ACCC) and the expiration of the waiting period under U.S. [Hart–Scott–Rodino Antitrust Improvements Act of 1976] regulatory laws,” an AMD spokesperson told EnterpriseAI. “This is another important step towards closing our strategic acquisition of Xilinx by the end of this year.”
Still to be resolved is the proposed acquisition’s regulatory review and status in China, the spokesperson said. “China is the primary regulatory approval still required. We have filed our transaction with China’s State Administration for Market Regulation (SAMR). We continue working with Chinese regulators and remain on-track for approval by year’s end.”
No additional approvals are required in the U.S.
“We are on track to close by the end of the year, which was the original guidance when we announced the transaction last October,” the AMD spokesman said.
In a post on the EC’s Daily News web page on July 1, the agency said that the AMD Xilinx acquisition was approved after considering the merits of the case.
“The Commission concluded that the proposed transaction would raise no competition concerns in the European Economic Area given the absence of horizontal overlaps and vertical relationships between the activities of the companies,” the post states. “The Commission assessed possible conglomerate effects and concluded that the transaction does not raise competition concerns in that regard, given the lack of ability and incentive to foreclose rival providers of CPUs and GPUs and the presence of alternative suppliers.”