FEB. 16 Boise, Idaho–Micron Technology, Inc. has signed a $25 million (3 billion yen) acquisition agreement to purchase Kobe Steel Ltd.’s equity interest in KMT Semiconductor Ltd., a DRAM fab located in Nishiwaki City, Hyogo Prefecture, Japan. The final purchase price has decreased $100 million (11 billion yen) since last October when Micron first announced its intention to purchase Kobe Steel’s majority interest in KMT for approximately $125 million (13.5 billion yen). Micron has owned a 25% stake in KMT since 1998.
“We look forward to welcoming KMT into the Micron family as a wholly owned facility,” says Steve Appleton, Micron’s president, chairman, and CEO. “This reinforces Micron’s position as one of the world’s leading producers of memory solutions.”
As of December 31, KMT reported total assets approximating $705 million (81 billion yen), which includes property, plant, and equipment with a carrying value of approximately $470 million (54 billion yen) and total liabilities of $470 million. Micron will continue, restructure, or repay all or part of KMT’s debt projected to approximate $325 million (37 billion) as of closing.
Closing is expected to occur this year during the second quarter.