BOISE, Idaho -- As part of its DRAM expansion strategy, Micron Technology Inc. today announced it has paid Toshiba Corp. $250 million in cash and issued 1.5 million shares of stock, valued at $45 million, to complete its acquisition of Toshiba's commodity dynamic random-access memory business in Virginia.
Late last year, when the deal was announced, Micron did not release the terms of the planned acquisition, which includes Toshiba's Dominion Semiconductor LLC manufacturing fab in Manassas, Va. (see Dec. 18 story).
The completion of the purchase comes after Micron announced today that it has agreed to acquire the memory business of Hynix Semiconductor Inc. for $3.2 billion in stock and a $200 investment in the Korean company's non-memory chip operations (see today's story). The Dominion facility was originally formed as a joint venture between Toshiba and IBM Corp., which began full-scale wafer production in 1997. In 2000, Toshiba purchased IBM's ownership interest.
"The utilization of the Dominion DRAM operations should enable Micron to further leverage our highly-efficient manufacturing model and continue to reduce our cost per wafer," said Steve Appleton, chairman, CEO and president of Micron. "We intend to begin transferring our 0.13-micron manufacturing and process technologies into the Dominion facility as soon as possible and expect the transfer to be completed by the end of 2002.
"Market conditions will determine subsequent manufacturing plans," he added.
