NEC and Renesas to merge in 2010
NEC Electronics and Renesas Technology have agreed to merge their operations in a further phase of consolidation among the big Japanese chipmakers. The move will propel the combined company into the position of third largest company in the sector, focused primarily on microcontrollers.
The integrated company will have three main product groups: MCUs, SoCs and discrete products but not before NEC and Renesas perform further restructuring.
The plan is to integrate business operations on 1 April, 2010, and to maintain a public listing for the new company. The companies have yet to decide how the shareholding will be split between the parent organisations, which include Hitachi, NEC and Mitsubishi Electric. The new company will announce the company name, the location of its headquarters board members, capitalisation and total assets after integration.
NEC Electronics and Renesas plan to sign an agreement at the end of July this year to integrate their business operations. The dates and details of the extraordinary general meetings of shareholders for NEC Electronics and Renesas to consider approval of the integration are to be announced following the signing of the agreement.