Micron buys Japanese chip maker

Micron buys Japanese chip maker

Micron buys Japanese chip maker

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by KTVB

KTVB.COM

Posted on July 31, 2013 at 4:59 PM

Updated Wednesday, Jul 31 at 5:05 PM

BOISE -- It's official -- Micron has purchased Japanese memory chip maker Elpida.

It's a deal that makes Micron the second largest DRAM maker in the world.    

The announcement is splashed on the Micron website.

The deal officially closed at 9 a.m. Wednesday, which was the close of the business day in Tokyo.

In a statement, Micron CEO Mark Durcan said in part, "This combination will result in enhanced research and development and manufacturing -- and stronger memory product for customers."

Financial planner Dave Petso says this is a big deal for Micron.

"When you consider that the yen has collapsed, in addition to how cheap they were buying this company out of bankruptcy, it's a really good deal for Micron. I'm glad it's closed," said Petso.

Micron's stock price surged Wednesday - gaining more than five percent in regular trading to close at $13.24 a share.

The stock continued to rise in after-hours trading.

 

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