May 28, 2013
STMicroelectronics
announced that
ST-Ericsson, a 50-50
joint venture with
Ericsson, has sold the
assets and intellectual
property rights (IPR)
associated with its
mobileconnectivity
Global Navigation
Satellite System (GNSS)
business and distributed
the press release below.
ST is a global leader in
the semiconductor market
serving customers across
the spectrum of sense
and power technologies
and multimedia
convergence
applications. From
energy management and
savings to trust and
data security, from
healthcare and wellness
to smart consumer
devices, in the home,
car and office, at work
and at play, ST is found
everywhere
microelectronics make a
positive and innovative
contribution to people's
life. By getting more
from technology to get
more from life, ST
stands for
life.augmented.
ST-Ericsson
announces sale of its
Connectivity [GNSS]
business
May 28, 2013
ST-Ericsson, a joint
venture of
STMicroelectronics and
Ericsson announced
the signature of a
definitive agreement to
sell the assets and
intellectual property
rights (IPR) associated
with its mobile
connectivity Global
Navigation Satellite
System (GNSS) business
to a leading
semiconductor company.
The sale of these
assets represents
another step in the
execution of Ericsson's
and ST's announcement of
March 18th
2013. In addition to the
assets and IPR
associated with this
business, a world class
team of 130 industry
veterans located in
Daventry (UK), Bangalore
(India) and Singapore
are anticipated to join
the buyer at closing of
the transaction.
The closing of the
transaction is subject
to regulatory approvals
and standard conditions
and is expected to be
completed in August,
2013. ST-Ericsson
estimates the proceeds
from the sale, combined
with the avoidance of
employee restructuring
charges and other
related restructuring
costs, will reduce the
joint venture's cash
needs by approximately
$90 million.
"Today's transaction
validates the leading
innovation developed by
ST-Ericsson in mobile
navigation systems and
marks a further
important step towards
the execution of our
shareholders' decision
to exit from
ST-Ericsson" commented
Carlo Ferro, President
and CEO of ST-Ericsson.
"I am pleased that this
organization will
continue to develop
leading-edge
technologies and
delighted that the team
found a new home at a
leading player in the
semiconductor industry."
