S&P: Spansion unchanged

Standard & Poor's said its ratings on Spansion Inc. (B/stable) are not affected by the company's announcement that it will acquire Saifun Semiconductors Ltd. for $368 million of cash and stock.

The cash portion of the transaction will be sourced from Saifun's existing cash on hand, the agency said.

S&P noted that Spansion has been a licensee of Saifun's intellectual property related to its MirrorBit memory solution, representing 28% of Saifun's $67 million revenue base in 2006, adding that the acquisition consolidates technologies and eliminates licensing and royalty payments paid by Spansion.

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