MACRONIX JOINS SANDISK, ALLIANCE, QUICKLOGIC AS WAFER PARTNER IN TOWER'S FAB 2 PROJECT.Macronix International Co. Ltd., and Tower Semiconductor Ltd. have entered into a definitive agreement under which Macronix will make a $75 million strategic investment in Tower as part of Tower's plan to build its new Fab. In return for its investment, Macronix will receive equity, corresponding representation on Tower's Board of Directors and committed production capacity in the advanced fab that Tower intends to commence building within several weeks. In related announcements, Tower said its principal shareholder, Israel Corp., will invest, under similar terms, $50 million in Tower's Ordinary Shares, and another investment agreement was signed between Tower and QuickLogic Corporation. With these additional investments as well as amounts to be received under the agreement with Macronix and similar agreements announced earlier this year with SanDisk Corporation and Alliance Semiconductor, Tower has obtained commitments for the funding of $300 million in equity financing Equity Financing The act of raising money for company activities by selling common or preferred stock to individual or institutional investors. In return for the money paid, shareholders receive ownership interests in the corporation. required to begin the construction of the new fab. The companies also agreed to expand the Manufacturing and Technology Cooperation Agreement entered into by Tower and Macronix in August of this year. Under the new agreement, Macronix will be able (subject to other rights) to offer microFLASH -based integrated design The introduction to this article provides insufficient context for those unfamiliar with the subject matter. Please help [ improve the introduction] to meet Wikipedia's layout standards. You can discuss the issue on the talk page. and sub-contract manufacturing services. In return, Macronix agreed to make certain commitments, including loading of Fab 2. "Macronix' decision to invest in Tower's new fab is intended to help us meet the rapid growth of the Flash market and better support the needs of our strategic customers." Said Mr. Miin Wu, CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of Macronix, "The cooperation with Tower, that started earlier this year, has proven very rewarding. The new agreement will provide Macronix with complementary capacity and competitive embedded-Flash solutions that are essential to our System-On-Chip corporate strategy." Under the terms of the agreement, Macronix's investment will be made in several stages over close to two years period, against satisfactory completion of key milestones for the construction, equipping and commencement of production at the new wafer (1) A small, thin continuous-loop magnetic tape cartridge that has been used from time to time for data storage and specialized applications. (2) The base unit of chip making. It is a slice taken from a salami-like silicon crystal ingot up to 12" (300mm) in diameter. fab. Macronix will receive from Tower a guaranteed portion of the available wafer capacity at competitive pricing, with first production expected in 2002. Closing of the transaction with Macronix is subject to several conditions, including Tower's securing required bank financing, timely commencement of fab construction, and other third party required approvals. Tower plans to construct an advanced fab adjacent to its current facility in Migdal Haemek Migdal HaEmek (Hebrew: מִגְדַּל הָעֶמֶק, also officially spelt Migdal HaEmeq, Arabic: , Israel. The new fab, referred to as "Fab 2," will employ approximately 1,000 professionals and produce up to 33,000 200-mm wafers wafers compressed roughage in flat plates useful for feeding to animals in transit. per month in geometries of 0.18 micron micron: see micrometer. One micrometer, which is one millionth of a meter or approximately 1/25,000 of an inch. The tiny elements that make up a transistor on a chip are measured in micrometers and nanometers. See process technology. and below, using advanced CMOS (Complementary Metal Oxide Semiconductor) Pronounced "c-moss." The most widely used integrated circuit design. It is found in almost every electronic product from handheld devices to mainframes. technology from Toshiba. |
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