Micron To Buy Japan’s Elpida Memory For $750 Million

Posted on Jul 2 2012 - 2:08pm by Editorial Staff

Micron Technology today announced that it has signed a definite sponsor agreement with Elpida Memory to acquire and support Elpida. Micron will acquire 100 percent of the equity of Elpida for 60 billion Yen (approximately USD $750 million) to be paid in cash at closing. In addition, 140 billion Yen (approximately USD $1.75 billion) in future annual installment payments through 2019 will be paid from cash flow generated from Micron’s payment for foundry services provided by Elpida, as a Micron subsidiary.

“We are creating the industry-leading pure-play memory company,” said Micron CEO Mark Durcan. “Today’s transactions will help strengthen the combined companies’ market position in the memory industry through increased research and development and manufacturing scale; improved access to core memory market segments; and additional wafer capacity to balance among DRAM, NAND and NOR memory solutions for the ultimate benefit of Micron and Elpida customers.”

About the Author
Editorial Staff

Editorial Staff at I2Mag is a team of subject experts.