STMicroelectronics, Ericsson close deal merging Ericsson Mobile Platforms and ST-NXP Wireless into 50/50 JV - Quick Facts

STMicroelectronics (STM) announced the closing of agreement with Ericsson (ERIC) merging Ericsson Mobile Platforms and ST-NXP Wireless into a 50/50 joint venture.

The deal was completed on the terms originally announced on August 20, 2008.

Ericsson contributed US$1.1 billion net to the joint venture, out of which US$0.7 billion was paid to ST.

Prior to the closing of the transaction, ST exercised its option to buyout NXP's 20% ownership stake of ST-NXP Wireless.

Alain Dutheil, presently CEO of ST-NXP Wireless and Chief Operating Officer of STMicroelectronics, would lead the joint venture as President and Chief Executive Officer.

by RTTNews Staff Writer

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