July 20, 2007 – The proposed flash memory JV combining Intel and STMicroelectronics assets is still being hashed out in regulatory red tape, but it already has a new name:, “Numonyx,” a play on the word “mnemonics” (the art of assisting or improving memory), according to the companies.
“Announcing our name allows us to begin developing an independent identity that customers and employees will recognize,” said Mario Licciardello, VP and GM of ST’s flash memories group and COO-designate for Numonyx, in a statement. “While we are progressing in achieving regulatory approvals, planting the Numonyx flag establishes an important milestone for the company.”
The new Switzerland-based company, proposed back in May, will combine ST’s flash memory assets (including its NAND joint venture interest and other NOR resources) with Intel’s NOR assets and resources, which together generated sales of about $3.6 billion in 2006, with nine main R&D and manufacturing locations around the world and approximately 8000 employees. It also will integrate the two firms’ parallel programs on phase-change memory, though the companies haven’t disclosed details of how those efforts will be combined.
Brian Harrison, VP and GM of Intel’s flash memory group and soon-to-be CEO of the new firm, indicated the two firms are still on pace to complete the transaction (subject to regulatory approval and other closing conditions) in 2H07.
Under terms of the JV creation, ST will have the majority stake (48.6%) in Numonyx and receive a $468 million cash payment, while Intel gets a 45.1% stake and $432 million in cash. Private equity firm Francisco Partners LP will add $150 million in cash for a 6.3% stake in the firm.