This qualifies as news these days: Newport Beach-based chipmaker Conexant Systems Inc. has renewed a credit line for $50 million through November 2009.
Conexant renewed the accounts receivable credit line with Wachovia Corp., which is being bought in a rescue deal by Wells Fargo & Co.
A year ago, Wachovia lent Conexant $80 million based on money it was due from customers.
“We renewed our credit facility with Wachovia, despite a challenging market and economic environment,” said Scott Mercer, Conexant’s chief executive.
Conexant’s shares were up about 20% in New York morning trading on a market value of $45 million.
The smaller line of credit is “an appropriate amount” given recent business sales and other restructuring that has left Conexant smaller than it was a year ago, Mercer said.
The company recently sold its business making chips for set-top TV boxes for about $145 million to NXP Semiconductors, the former chip arm of Royal Philips Electronics NV.
Conexant designs chips for cable modems, cordless and cellular telephones and other products.
