Intel announced that it plans to forge a joint venture with STMicroelectronics to merge both companies' flash memory business into a single entity and spin it off as a new company. Intel said it would spin-off its flash memory business, NOR, which makes memory for mobile phones, to receive a 45 percent stake in the new company as well as $432 million in cash. STM will sell its NOR and NAND flash memory businesses and receive a 49 percent stake in the company as well as $468 million in cash. The new company has yet to get a name, but it will receive $150 million from PE firm Francisco Partners, which will hold a 6 percent stake in it. Article
