AMD Plunges 10.6% on Spinoff Delay

AMD has announced a delay to its planned spinoff, sending shares down nearly 11%.
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Advanced Micro Devices

(AMD) - Get Report

announced Tuesday a delay to its planned spinoff, sending shares down nearly 11%.

AMD shares fell 10.6% to $2.11 after the company said it would resume its special meeting of stockholders in Austin, Texas, until Feb. 18 to allow for the collection of more shareholder proxies regarding the spinoff of its manufacturing facilities in a joint venture with

Advanced Technology Investment

. The venture, which needed a 50% quorum, would be called Foundry Co.

According to AMD, 42% of shares have been voted, with 97% in favor of the creation of Foundry Co.

AMD, which has

struggled mightily

along with the rest of the

tech sector

, announced the Abu Dhabi spinoff plan in October. It would join other chip giants like

Texas Instruments

(TXN) - Get Report

and

ST Microelectronics

(STM) - Get Report

in outsourcing chip production and pocketing said production's considerable capital expense.