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NEW YORK (AP) -- Chip maker STMicroelectronics N.V. said Wednesday that Intel Corp. and private equity firm Francisco Partners Management LLC have agreed to extend the closing of a deal on their Numonyx memory chip joint venture. The three companies now expect to close the deal by March 28, 2008. ST also said the partners have secured a senior loan of up to $650 million and a $100 million committed revolving credit facility for Numonyx, which will be based in Switzerland. It said the financing was revised following "significant turmoil" in the debt capital markets. In exchange for its flash memory business, ST will receive 48.6 percent of Numonyx's shares and $364 million in cash and interest-bearing notes. Flash is a type of memory chip that can be erased and reprogrammed. It is often used to store code that controls personal computers and other devices. Numonyx hopes to become one of the world's largest suppliers of memory chips. Intel Corp. is the world's largest microchip maker. STMicroelectronics is one of Europe's largest chip makers and sells chips in computer, consumer electronics, industrial and other markets.
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