July 24 (Reuters) - French-Italian chipmaker

STMicroelectronics said on Thursday it would acquire

part of NXP Semiconductors' ( NXPI ) sensor unit for up to $950

million in cash.

The deal would expand STMicro's portfolio of MEMS-based

electromechanical sensors, which include safety and monitoring

sensors for vehicles as well as pressure sensors for industrial

applications.

The unit generated revenue of about $300 million last year,

STMicro said in a statement.

As part of the agreement, STMicro would make an upfront

payment of $900 million and $50 million on achieving certain

technical milestones.

The deal is expected to close in the first half of 2026.

Chipmakers exposed to the struggling automotive, industrial,

and consumer chip markets have faced a sales slump as they

grapple with low demand and high inventories.

Earlier in the day, STMicro, one of Europe's largest

chipmakers, reported its first quarterly loss in over a decade

as it took a $190 million hit from restructuring and impairment

costs.

(Reporting by Mariam Sunny in Bengaluru; Editing by Anil

D'Silva)