In a press release, Sandisk announced to have entered into a partnership with Toshiba Corporation to sell approximately 30 % of the current manufacturing capacity of the partiesÂ’ joint ventures to Toshiba. SanDisk expects to increase its cash level while achieving greater supply flexibility.
SanDisk and Toshiba will continue to be equal partners for the approximately 70 percent capacity of the Fabs that remain in the joint ventures. SanDisk will have the option to purchase a part of the transferred capacity from Toshiba on a foundry basis and will continue to invest up to 50% in future Fab 4 expansions and technology transitions in Fabs 3 and 4. The parties will continue their existing joint technology development in advanced NAND and 3D read/write memory. SanDisk expects the transaction to be completed in the first quarter of 2009.
With such agreement, T
