TEL AVIV, June 19 Israeli chip manufacturer
TowerJazz said a five-year agreement with JA Mitsui
Leasing, a Japanese financing institute, has been signed to
provide TowerJazz Panasonic Semiconductor Co with a loan of 8.8
billion Japanese Yen ($85 million).
The loan will carry annual interest of TIBOR (Tokyo
Interbank Offered Rate) plus 2 percent per annum, will mature in
mid 2019 and will be repaid in seven equal semi-annual
installments, which will start two years after signing.
The loan will come in lieu of an 8.8 billion yen bridge loan
received from Panasonic, TowerJazz said on Thursday.
TowerJazz has a 51 percent stake in a joint venture with
Panasonic Corp, which was launched in April and under
which Panasonic transferred three factories for the production
of semiconductors for cars and other products.
(Reporting by Tova Cohen)