Infineon spells out plans to divest its interest in Qimonda
Neubiberg, Germany – August 6, 2007 – Infineon Technologies AG (FSE/NYSE: IFX) further specified the divestiture of its interest in Qimonda. Accordingly, Infineon aims to reduce its stake in Qimonda to significantly below 50 per cent not later than by the Annual Shareholder Meeting 2009. The company will continue executing its strategy to reduce its stake through secondary offerings and other capital markets measures. Any cash inflow from such sales is to be used for selective acquisitions to strengthen Infineon's business or to repurchase Infineon shares. The plan also envisages taking all necessary measures at the Annual Shareholder Meeting 2008 required to enable distribution of Qimonda shares as a dividend in kind to Infineon shareholders. Such a dividend would then be possible after the Annual Shareholder Meeting 2009.
"Carving-out and listing our memory business last year effectively created two focused companies, each with a well-defined strategy and clear prospects. With today’s decision, we are gaining another option to reduce our stake and are increasing the flexibility regarding the speed of the reduction. At the same time we are strengthening both companies and are accommodating the interests of our shareholders," said Dr. Wolfgang Ziebart, President and Chief Executive Officer of Infineon Technologies AG.
Infineon Technologies AG, Neubiberg, Germany, offers semiconductor and system solutions addressing three central challenges to modern society: energy efficiency, communications and security. In fiscal year 2006 (ending September), the company achieved sales of Euro 7.9 billion (including Qimonda sales of Euro 3.8 billion) with approximately 42,000 employees worldwide (including approximately 12,000 Qimonda employees). With a global presence, Infineon operates through its subsidiaries in the US from Milpitas, CA, in the Asia-Pacific region from Singapore, and in Japan from Tokyo. Infineon is listed on the Frankfurt Stock Exchange and on the New York Stock Exchange (ticker symbol: IFX).