NEC, Renesas Set Merger Date, Ratio
December 20, 2009
NEC Electronics, the chip-making unit of Japan's
NEC, and Renesas Technology, a joint venture between Hitachi and Mitsubishi
Electric, announced on December 15 that they have decided on April 1, 2010 as
the effective date of the two companies' merger, according to Dow Jones
Newswires on December 15. In the same announcement, the two companies also
specified the ratio of merger, with one Renesas share exchanged for 20.5 NEC
Electronics shares. Following the completion of the all-share deal, NEC
Electronics will be the surviving entity. The new company, to be named Renesas
Electronics and headquartered in Kawasaki, Japan, is expected to create the
world's third-largest semiconductor company after Intel of the United States
and Samsung Electronics of Korea.