Renesas Electronics to Sell its U.S. Semiconductor Wafer Fabrication Facility to TELEFUNKEN Semicond
TOKYO, Japan, and Heilbronn, Germany, March 31, 2011- Renesas Electronics Corporation (TSE: 6723), a premier supplier of advanced semiconductor solutions, and TELEFUNKEN Semiconductors GmbH & Co. KG, an automotive-qualified, mixed-signal, high-voltage (HV) power management and SOI-based manufacturer, today announced that they have signed an agreement under which Renesas Electronics America Inc. will sell its semiconductor wafer fabrication facility in Roseville, California, to TELEFUNKEN Semiconductors International LLC, a group company of TELEFUNKEN Semiconductors GmbH & Co. KG. The sale price is approximately 53 million U.S. dollars, and the closing for the sale is planned for May 2, 2011. Wafra Capital Partners L.P. and Somerset Capital Group Ltd. helped TELEFUNKEN finance and facilitate the transaction, and ATREG Inc. advised Renesas Electronics throughout the transaction.
As part of the strategies decided through its 100-Day Project announced on July 29, 2010, Renesas Electronics has been considering and implementing various measures to
improve manufacturing efficiency by promoting larger wafers, finer process node, and production concentration. In line with these measures, the company decided to sell Renesas Electronics America's facility in Roseville, California, to TELEFUNKEN Semiconductors International, which has been searching for a new manufacturing facility to expand its semiconductor business.
TELEFUNKEN Semiconductors International intends to utilize the 200-millimeter (mm), eight-inch line at the Roseville factory to manufacture its own analog/mixed-signal, HV products and the products for its strategic foundry partners. TELEFUNKEN Semiconductors International also will enter into a supply agreement with Renesas Electronics for manufacturing services at the Roseville factory. Under this agreement, TELEFUNKEN Semiconductors International will focus on Renesas Electronic cuurent customors without interruption for the same high-quality level of production and service at the Roseville factory.
Renesas Electronics remains fully committed to meeting customers' requirements through its Quality Assurance Center in Roseville to continue support of customers in the North American and European markets.
Note: Refer to the addendum for an overview of the sale agreement of the Roseville factory.
About Renesas Electronics Corporation
Renesas Electronics Corporation (TSE: 6723), the world's number one supplier of microcontrollers, is a premier supplier of advanced semiconductor solutions including microcontrollers, SoC solutions and a broad range of analog and power devices. Business operations began as Renesas Electronics in April 2010 through the integration of NEC Electronics Corporation (TSE:6723) and Renesas Technology Corp., with operations spanning research, development, design and manufacturing for a wide range of applications. Headquartered in Japan, Renesas Electronics has subsidiaries in 20 countries worldwide. More information can be found at www.renesas.com