Micron Technology (Photo : Reuters)
With an offer amounting to NT $30 for every Inotera share, Micron Technology Inc. decided to buy the rest of Inotera Memories Inc.
Micron Technology, a company that creates chips providing short-term memory for computers, is to buy the rest of Inotera for the part which the company has not yet owned for $3.2 billion excluding debt and cash, Bloomberg reported.
Inotera is a company that provides DRAM production.
Inotera and Micron Technology have 60 days to decide on the final agreement of buying the rest of Inotera. It can be noted that Micron has already have about 33 percent of Inotera, the report said.
Final agreement between the two parties is to close by the middle of 2016. According to Micron Technology, merged earned amounting to $7 billion, the report added.
Mark Durcan, Micron Technology's chief executive, said that the buying of Inotera is a compelling combination for the companies' shareholders as well as the employees. The buying is also based on the success of their performance with Inotera for seven years, Morning Star reported.
Dr. Pei-Ing Lee, the Inotera chairman, said that the two companies have enjoyed a successful partnership for years. Lee added that they are now building a success for a new agreement that Inotera could align with Micron Technology, the report added.
Micron Technology is one of the world's top five semiconductor producing companies.
Watch the video by IMD Business School in YouTube in an interview with Micron Technology's Mark Durcan as the semiconductor provider is about to buy the rest of the shares of Inotera Memories worth $3.2 billion.
