Chinese Tsinghua UniGroup wants to aquire Micron

Lord Sparklebottom · July 16, 2015

China lacks internal memory manufacturing, something the country wants to resolve with an acquisition of Micron. US regulators may, however, put an end to the deal.

According to Bloomberg's report, Qinghua Group bid $ 23 billion or $ 21 per share for Micron. At the publication of the report was a price premium of about 20 percent of the company's market, where the shares at the time was valued at $ 17.61.Shortly after the news the stock rose to $ 19.64.

Translated from Swedish via Google Translate

Micron is right now the world's third large manufacturer of DRAM for use in RAM and NAND flash for use in SSDs and mobile storage.

Chinese authorities have given the green light for the deal, but may encounter on patrol when it also must be approved by US regulators. It is also possible to Micron shareholders are not interested in the current situation, when the share value in the short time halved from a peak of $ 36.49 December 5, 2014.

The report also shows that Micron is likely just the first in a line of business, the Chinese government may want to acquire. According to estimates by consulting firm McKinsey & Co., the country can be budgeted as much as one trillion yuan, equivalent to 161 billion dollars or 1372 billion, to strengthen the Chinese semiconductor industry over the next five to ten years.

Translated from Swedish via Google Translate

Source: http://www.sweclockers.com/nyhet/20821-kinesiska-tsinghua-unigroup-vill-kopa-micron