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GFS
~7 min read · 1,657 words ·updated 2026-04-29 · confidence 29%

Share count + dilution progression

Executive summary

GlobalFoundries’ share count grew from approximately 525M shares at the October 2021 IPO to ~555.8M shares at fiscal year-end 2025-12-31 — a +30M / +5.9% increase over ~4.5 years, or roughly +1.3% annualized. This is disciplined dilution — driven primarily by RSU/PSU vesting net of tax withholding and stock-based-compensation reabsorption. Mubadala’s 81.0% stake corresponds to 450,387,613 shares as of 2025-12-31; FMR holds 10.0% (55.5M shares).

GFS has not issued primary shares (i.e., new shares for cash) since the October 2021 IPO. The only material primary-share issuance vehicle has been the 2024 follow-on offering — but that was a secondary offering (Mubadala-selldown), not primary, so it did not increase GFS’s share count, only redistributed Mubadala-held shares to public.

Compared to dilution-heavy peers (POET +128% over 14 months in 2025-2026), GFS’s share-count discipline is best-in-class for the photonics-adjacent comp set — a reflection of (a) Mubadala’s controlled-shareholder posture (no need to dilute the parent), (b) operating cash-flow positivity (no need to raise equity), and (c) tight executive-compensation share grants.

1. Quarterly share count progression (per FY 20-Fs)

DateTotal ordinary shares O/S (M)Source / Notes
2021-10-28 (IPO close)~525F-1/A + 424B4; post-IPO immediate share count
2021-12-31~530 ⚠est. (no major SBC events Q4’21)
2022-12-31~545 ⚠est. from FY22 weighted-avg shares + RSU vests
2023-12-31~552FY23 20-F basic weighted-avg implied
2024-12-31~553FY24 20-F basic weighted-avg implied
2025-12-31~555.8Computed from Mubadala 81.0% = 450,387,613 ✓ FY25 20-F Item 7
2026-04-29 (current)~556Approximate — minor RSU vesting + Code F withholding occurred Q1 2026
2026 Q1 fully diluted (per Q1 2026 6-K guide)560MQ1 2026 6-K guidance “Fully Diluted Share Count: 560” ✓

Note. The 555.8M derivation comes from Mubadala’s exact share count (450,387,613) divided by 81.0% = 555.8M. The 20-F also lists FMR LLC at 55,462,583 shares (10.0%), which confirms the implied total at 555.7-555.8M.

2. Weighted-average shares outstanding (P&L denominator)

YearBasic (M)Diluted (M)Diluted-vs-basic gap
FY2023552556+4M (RSU/PSU dilution)
FY20245535530 (anti-dilutive due to net loss)
FY2025555558+3M ✓

The FY24 zero gap between basic and diluted weighted-avg shares reflects the net loss anti-dilutive treatment under IFRS — when a company reports a net loss, equity-linked instruments are not added to the share count if they would reduce reported per-share losses. This is why FY24 diluted EPS of $(0.48) does not include the option/RSU/PSU pool.

3. Stock-based compensation expense

YearCost of revenue ($M)R&D ($M)SG&A ($M)Total SBC ($M)% of revenue
FY202561421022053.0%
FY20245831981872.8%
FY2023 (implied)n/dn/dn/d~$170-180 ⚠~2.4% ⚠

Source: FY2025 20-F Income Statement footnote.

SBC is the primary driver of share-count growth. At ~$200M annual SBC and ~$60/share average issuance value over the period, the implied annual share issuance is ~3.3M new shares — corresponding to the ~+1.3% per year share-count growth observed.

4. RSU and PSU outstanding (per FY25 20-F)

InstrumentQuantity outstandingNotes
RSUs8.7M2021 Plan; vests typically 33%/year over 3 years
PSUs3.0M2021 Plan; performance-target vesting (Revenue + Adjusted FCF margin + TSR)
Total RSU + PSU outstanding11.7M2.1% of total O/S
Ordinary shares available for future grant12.0M2021 Plan headroom
Total potential dilution from outstanding equity awards23.7M (4.3% of current O/S)If 100% vested + future grants used

ESPP (Employee Stock Purchase Plan):

  • Up to 7.5M shares aggregate authorized for issuance under ESPP
  • Employees can deduct up to 10% of compensation for share purchases
  • 6-month purchase periods
  • 20% company match (after-tax)
  • One-time grant of 50 RSUs per first-time enrollee

Read. GFS’s option/RSU/PSU pool is modest by US-listed-tech standards. The combined 23.7M potential dilution at full vest + future grant utilization is 4.3% of current outstanding — vs. typical Silicon Valley software companies that carry 8-12% potential dilution. Reflects (a) controlled-company governance discipline, (b) more “salary-heavy” compensation mix, (c) deep-pocketed Mubadala parent eliminating the “use equity to attract talent” pressure.

5. Mubadala stake share-count detail

Per mubadala related party:

DateMubadala shares%Mubadala vehicle
Pre-IPO Oct 2021~470M~89%All Mubadala entities pre-IPO
Mar 2022 (post-IPO)~470M ⚠~88%MTIC + MTIIIC
Dec 2022~487M ⚠~89.4%(modest selldown over 2022)
Dec 2023~493M~89%
May 2024 (post follow-on)~452M~84-86%After ~$1.0-1.5B selldown
Dec 2025450,387,61381.0%FY25 20-F Item 7

Mubadala has selldown approximately 9 percentage points cumulatively (90% → 81%) over 4.5 years — implying ~2 percentage points per year average pace. This dilutes Mubadala’s stake but the residual remains structurally dominant.

6. 2024 May follow-on — secondary not primary

The May 22-24, 2024 follow-on offering (F-3ASR acc. 0001709048-24-000029 + 424B7 acc. 0001709048-24-000039) was a secondary offering — Mubadala sold ~25-30M of its own shares to the public. This:

  • Did NOT add new shares to GFS’s outstanding share count
  • Did reduce Mubadala’s % ownership (~89% → ~84-86%)
  • Did add ~25-30M shares to public free float, materially improving liquidity

Total cumulative 2024 follow-on selldown estimated at ~$1.0-1.5B at ~$70/share average.

7. F-3ASR shelf — March 2026 (forward optionality)

The March 2026 F-3ASR shelf registration (acc. 0001709048-26-000028) opens forward Mubadala selldown without further filing burden. The 424B7 priced 2026-03-12 (acc. 0001709048-26-000040) — but no specific tranche has been announced as of 2026-04-29.

Per Mubadala’s historical pattern, a likely next-tranche size is ~$1.0-1.8B at $60+/share = ~17-30M additional float-eligible shares released to public, while Mubadala’s stake would decline another ~3-5 percentage points to ~76-78%.

8. Buyback impact on share count (forward-looking)

Per capital returns, the Board approved a $500M / 12-month buyback authorization in February 2026.

Mechanical impact at $59.49 spot:

  • $500M / $59.49 = ~8.4M shares repurchasable
  • 8.4M / 555.8M = −1.5% share-count reduction if fully executed
  • 8.4M / 83M float = ~10% reduction in non-Mubadala-non-FMR free float

Read. The buyback’s impact on share count is modest at the corporate level (-1.5%) but meaningful at the float level (-10% of true tradable float). This is a structurally float-supportive action that counter-balances the F-3ASR-driven Mubadala selldown optionality. The interaction between buyback execution and Mubadala selldown timing will determine 2026 supply/demand dynamics.

9. Pro-forma diluted share count under exercise scenarios

ScenarioShares O/S+ RSU/PSU (11.7M)+ Future grants (12.0M)Total fully diluted
Spot (2026-04-29)555.8M+11.7M (assumes full vest)n/a (not yet granted)567.5M
Stock at $80+ (PSUs full TSR vest)555.8M+11.7M (PSUs vest 200% on TSR overperformance ⚠)up to +12.0M (future grants)579.5M
Stock at $40-50 (PSU TSR target miss)555.8M+5-7M ⚠ (PSU partial vest)n/a~561-563M

The PSU TSR-vesting structure is potentially performative at high stock prices — if GFS reaches $80+ and sustains, PSUs could vest at 100-200% of target, increasing the actual dilutive impact.

10. Comparison to peer dilution profiles

PeerShares O/S (latest)14-month dilution %SBC % of revenueCapital structure note
GFS555.8M+0.5%3.0%Mubadala 81% controls; modest dilution
MRVL~860M+1.5% ⚠~4% ⚠Cavium acquisition stock + ongoing SBC
POET152.7M+128%n/a (pre-revenue)Serial-PIPE-dilution profile
TSMC~26B~0%~1.5%Mature, minimal dilution
UMC~12B<0.5%~1%Mature, dividend-payer

GFS’s dilution discipline is structurally tight — comparable to mature foundry peers like TSMC and UMC, despite being a younger US-listed entity. This is one of the most underappreciated structural strengths of the GFS equity story relative to peer photonics-adjacent issuers.

11. Open items / backfill queue

  1. Pre-2025 share-count timeline — annual share-count progression by year, sourced from each FY 20-F. Currently estimated; needs primary-source validation.
  2. 2024 follow-on tranche specifics — exact share count Mubadala sold and exact pricing.
  3. F-3ASR-driven secondary execution — monitor for 13D/A or 144 filings indicating Mubadala’s intent.
  4. Buyback execution against share count — Q1 2026 6-K (~May 2026) will be the first disclosure of buyback execution.
  5. PSU TSR target structure — what specific stock-price thresholds trigger 100% vs 200% PSU vesting? Affects pro-forma dilution under bull-case scenarios.

Sources

  • GFS FY2025 20-F, acc. 0001709048-26-000022, filed 2026-02-27 — SEC EDGAR — Item 7 share count, RSU/PSU outstanding, SBC by line item.
  • F-3ASR shelf registration, acc. 0001709048-26-000028, filed 2026-03-11 — opens forward selldown optionality.
  • Q4’25 6-K, acc. 0001709048-26-000012, filed 2026-02-11 — Q1 2026 fully diluted share count guide of 560M.
  • F-1/A IPO prospectus, acc. 0001193125-21-308107, filed 2021-10-26 — IPO share count ~525M.
  • 2024 follow-on: F-3ASR acc. 0001709048-24-000029 (2024-05-22) + 424B7 acc. 0001709048-24-000039 (2024-05-24).

Cross-references