GlobalFoundries, a global designer and manufacturer of semiconductors, filed on Monday with the SEC to raise up to $1 billion in an initial public offering. However, this is likely a placeholder for a deal we estimate could raise up to $2 billion.
GlobalFoundries states that it is one of the world's leading semiconductor foundries and the only scaled pure-play foundry with a global footprint that is not based in China or Taiwan, manufacturing complex, feature-rich integrated circuits (ICs) to serve a broad range of customers. The company has over 50 ecosystem partners spanning intellectual property (IP), electronic design automation, outsourced assembly, and test and design services. With an existing library of more than 4,000 IP titles, GlobalFoundries currently has more than 950 IP titles in active development across 26 process nodes and 34 IP partners. The company has been able to attract a large share of single-sourced products and long-term supply agreements, representing an aggregate lifetime revenue commitment of more than $19.5 billion. It has built strategic partnerships with a broad base of more than 200 customers as of December 31, 2020, which include Qualcomm, Advanced Micro Devices, and Samsung Electronics.
The Malta, NY-based company was founded in 2008 and booked $5.2 billion in revenue for the 12 months ended June 30, 2021. It plans to list on the Nasdaq under the symbol GFS. GlobalFoundries filed confidentially on August 9, 2021. Morgan Stanley, BofA Securities, J.P. Morgan, Citi, Credit Suisse, Deutsche Bank, HSBC, and Jefferies are the joint bookrunners on the deal. No pricing terms were disclosed.
