A cash-strapped AMD is to raise $1,8-billion in convertible debt, putting paid to fears of running out of cash by the end of the year.
The money is earmarked to provide working capital and pay off debt, including part of a loan used to buy ATI Technologies towards the end of 2006.
AMD's sales, which re-emerged in the last couple of years as a serious competitor to Intel, has seen sales slip this year as Intel has refreshed its product lines and produced a compelling roadmap.
AMD's market share for microprocessors fell by 4,6% in the first quarter from the fourth quarter, to 11%. in the same period, Intel's share rose to 80%.