Advanced Micro Rises on Report JPMorgan Exploring Sale

Advanced Micro Devices Inc. (AMD), the second-largest maker of processors for personal computers, rose the most in two months after Reuters reported that the company hired JPMorgan Chase & Co. (JPM) to explore options including a sale.

The shares advanced 5 percent to $2.09 at the close in New York. Earlier, they surged as much as 18 percent to $2.35 for the biggest intraday gain since July 2011. AMD pared its decline for the year to 61 percent.

AMD is considering a sale, as well as options for its patent portfolio, Reuters said, citing sources familiar with the situation. Drew Prairie, a spokesman for the company, wasn’t immediately available for comment. Tasha Pelio, a spokeswoman for JPMorgan, declined to comment.

Last month, AMD forecast fourth-quarter sales that fell short of analysts’s estimates and said it would cut 15 percent of its staff, citing weak demand across all product lines in a challenging economic environment. AMD joined other makers of computer components suffering fallout from sluggish growth and a shift in consumer tastes toward mobile devices, away from traditional desktop and laptop machines. The forecast revision followed the resignation, announced in September, of Chief Financial Officer Thomas Seifert.

To contact the reporter on this story: Lisa Rapaport in New York at lrapaport1@bloomberg.net

To contact the editor responsible for this story: Tom Giles at tgiles5@bloomberg.net

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