Infineon Announces Final Regulatory Approval for Cypress Semiconductor Acquisition

(This press release is a provisional translation of the press release dated April 7 in Germany.)

Neubiberg (Germany), April 7, 2020

Infineon Technologies (FSE: IFX / OTCQX: IFNNY, hereinafter "Infineon") announces that it has received all required regulatory approvals for its acquisition of Cypress Semiconductor, Inc. (NASDAQ: CY, hereinafter "Cypress") I will. We expect to close the acquisition transaction within five business days.

In early June 2019, Infineon and Cypress announced the signing of a definitive agreement for Infineon's acquisition of Cypress. This acquisition will enable us to offer the industry's most comprehensive portfolio for merging the physical and digital worlds to shape digitalization. Profitable growth will be accelerated by evolving from a "leading company in components" to a "leading company in system solutions" for the automotive, industrial equipment and IoT markets. We believe that our customers will enjoy our expanding global network and design-in system that responds to their needs.

In terms of funding, in addition to cash on hand, acquisition financing commitment facilities (loan lines) organized by a group of banks will be used. First, the total cash on hand from the 2019 capital increase and hybrid bond issuance of €2.7 billion will be applied. The shortfall will be covered by a loan facility of an international syndicate of 20 banks. The facility is split into tranches with maturities from March 2022 to June 2024, providing ample tenor and flexibility for long-term refinancing. We will ensure liquidity on our balance sheet with a target level of €1 billion plus at least 10% of our turnover.