AMD to lease back own home for $200m extra cash

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While Brits are content with sending family gold off to a smelter in order to reap some much needed cash for the Xmas/new Year period, AMD is think about hocking assets on a significantly larger scale. If you were AMD Chief Executive Rory Read and wanted an extra $200m – what would you sell? KitGuru heads down Texas way to see what’s on Craig’s List.

Person ‘A’ buys their house and spend what seems like forever paying for it. Person ‘B’ rents a similar house and spends a very long time paying the landlord. In 100 years, when both are dead and buried, the facts remain: Both lived in a house and paid for it. If there are no children/inheritance etc, then what’s the difference?

You can play out similar maths with buying or leasing cars.

Unless they are seriously cash rich, most businesses will rent, which is were it seems Rory wants to put AMD.

AMD spokesman Drew Prairie has been banging out AMD stories for many, many years – and his latest revelation to Reuters says that AMD is looking to raise up to $200M from the sale of its Austin Texas lands – while not actually moving anywhere at all.

What is less clear, is why AMD wants all of this cash. If you remember, when we covered the promotion of John Byrne to CSO, we also mentioned AMD looking to raise up to $500M in cash.

AMD Cash For Gold Lease Back Austin Campus KitGuru AMD to lease back own home for $200m extra cash

AMD is selling its home to raise cash, but what about all the gold in the old chips?

KitGuru says: If the Austin sell/lease deal went though as well as AMD would hope, then the company will have raised an additional warchest of almost $700M in less than a year, but why?  Buyout of another organisation?  Replacement supercars for all execs?  Looking to prevent Snoop Dogg buying Celtic?  When we find out more, we’ll let you know.

Comment below or in the KitGuru forums.

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