April 2, 2007 – Elpida Memory Inc. has amassed about 110 billion yen (~US $933 million) in syndicated loans and another 50 billion yen ($424 million) in credit line commitments, all to support planned capacity expansions in Taiwan and Japan, notes the Nikkei News wires.
The loans, to start in March 2009 and maturing by March 2012, come from a group of 45 creditors arranged jointly by Sumitomo Trust & Banking Co., Bank of Tokyo-Mitsubishi UFJ, Mizuho Corporate Bank, and Sumitomo Mitsui Banking Corp. Funds will be put toward a JV in Taiwan and adding a new production line at an unnamed domestic site.
The credit lines are with four lenders, including Sumitomo Trust, for operating funds, the report said.
Last December Elpida signed a deal with Taiwan’s PowerChip Semiconductor Corp. to establish what will ultimately be four 300mm DRAM fabs with what would ultimately amount to 240,000 wafers/month capacity.
The new venture, dubbed “Rexchip Electronics Corp.”, is slated begin operations during 2Q07 at the Central Taiwan Science Park Houli Site with about 1200 employees, and with ownership and capacity evenly split 50/50 between the companies. The initial investment plan calls for $1.22-$1.52 billion to achieve capacity of 30,000 300mm wafers/month. Equipment installation is slated for 2Q07, with mass production achieved in 3Q using Elpida’s 70nm process technologies, and product shipments starting by year’s end.