Micron Ready to Spend $1.5 Billion Acquiring Elpida

Paul Lilly

It was being reported last week that Micron Technology issued a bid of $1.5 billion to take over Elpida Memory, which had fallen on tough times after a prolonged slump in the DRAM market, and it now appears as though Micron is the frontrunner to acquire the bankrupt memory maker. Toshiba and Globalfoundries were two other names that had been thrown around as potential suitors, but either they didn't bid, or they were outbid by Micron.

News and rumor site DigiTimes first reported Micron's $1.5 billion desire to scoop up Elpida, and Fudzilla is talking like it's now a foregone conclusion. These aren't the most reliable sources in the world, but where there's smoke, there could be fire.

As Fudzilla points out, Elpida's primary asset is its Hiroshima plant worth approximately $1 billion. This would be the prize possession in any takeover and would allow Micron to expand its operations without having to build a new fab of its own. None of this chump change, of course, but Micron is sitting pretty with $2.1 billion cash and short term investments, according to Micron's Q2 2012 financial report (PDF) .

Image Credit: Micron

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