TI receives $120 Million in Acer buyout

The purchase of Texas Instruments' share in the TI-Acer joint dynamic RAM fab in Taiwan by Acer was completed Thursday with a $120 million stock transfer. TI had owned a 33 percent stake in the fab, but agreed in March to sell its holding to Acer, wich has announced plans to use the facility for foundry production. The company is now officially called Acer Semiconductor Manufacturing.

Taiwan venture capital giant China Development, already a minority partner in TI-Acer, has indicated it is interested in aquiring the shares in the company released by TI to Acer.

After restructuring, Acer Semiconductor will focus on logic integratedcircuits and made to order "foundry" chip making. Acer said it had contacted "major players" in the United States, Japan and Taiwan to discuss potential stategic alliances.

"The company is aggressively adjusting its organization to strengthen marketing ability and R&D capicity", an Acer spokesman said. Acer chairman Stan Shih and Acer Semiconductor president Alex Cheng plan to visit the United States in late June to recruit talent, the company said.