STMicroelectronics Secures $451 Million Credit Line

The global semiconductor manufacturer has until late 2014 to use its new financing.

By Tim Brugger – Mar 26, 2013 at 4:50PM EST

Switzerland-based STMicroelectronics (STM +1.36%) and the European Investment Bank have come to terms on a new $451 million loan, STMicroelectronics announced today. The loan is available to STMicroelectronics in either euros or U.S. dollars, and it can access the funds at any time before September 2014. News of the new loan follows STMicroelectronics' announcement on March 17 that it has repaid $451 million in senior debt, using existing cash.

The new loan, when accessed, will be used to help finance continued R&D activity, primarily in STMicroelectronics' Italian sites. The $451 million loan is in addition to STMicroelectronics' $1.19 billion in cash, as of its most recent quarter, and existing credit lines of $490 million.

Tim spends much of his day writing articles and content for The Fool and, not surprisingly, loves it! However, Tim still fancies himself a storyteller as well and will continue to pursue his passion for writing fiction. His first book, The Lives of Stupid People Volume 1 (The next, great American novel as you can tell from the title), was published in 2011, along with a couple award-winning short stories. Tim majored in business studies and marketing at the University of Oregon, remains an avid soccer player and crossword fanatic, and currently lives with his 3 children in Portland, OR.

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STMicroelectronics Secures $451 Million Credit Line

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