Mexican Media Brands
Japan Bails Out Renesas
Government-owned Innovation Network Corp. of Japan (INCJ) is investing $1.7 billion to buy a 69.2% stake in floundering chipmaker Renesas Electronics Corp.
#electronics
Share
Government-owned Innovation Network Corp. of Japan (INCJ) is investing $1.7 billion to buy a 69.2% stake in floundering chipmaker Renesas Electronics Corp.
The company supplies about 30% of the world's microprocessors. When Renesas' plant in Japan was damaged by the country's earthquake last year, the disruption crippled the company and disrupted car production almost everywhere.
Eight Renesas customers, including Denso, Nissan and Toyota, pledged last month to collectively invest $145 million and receive an estimated combined stake of 6%.
Renesas also received $3.1 billion in loans from its banks and major shareholders. Renesas is requesting an additional $606 million of aid from Innovation Network.
The company has shed 7,500 employees this year and aims to sell or close eight of its 18 plants within three years. Over five years, Renesas plans to invest $1.7 billion of the funds raised on upgrading its factories and developing new microcontrollers.
RELATED CONTENT
-
What the VW ID. BUGGY Indicates
Volkswagen will be presenting a concept, the ID. BUGGY, a contemporary take on a dune buggy, based on the MEB electric platform that the company will be using for a wide array of production vehicles, at the International Geneva Motor Show.
-
Rivian Gets Even More Money, Now From Ford
The electrification of automotive is serious business. This week it was announced that Ford is making a $500-million equity investment in Rivian.
-
The Genovation GXE: >220 mph and Street Legal
A 2019 Corvette Grand Sport has a starting price on the order of $66,950. The Genovation GXE, which is predicated on the Corvette Grand Sport, will set you back some $750,000.