Micron raises Hynix offer to $3.8bn
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Memory chip maker Micron Technology has reportedly increased its offer for South Korea's Hynix to $3.8 billion (4.38bn).
4 February 2002 Memory chip maker Micron Technology has reportedly increased its offer for South Korea's Hynix to $3.8 billion (€4.38bn). The deal, if approved, would make Micron the world's biggest memory chip company with a market share of about 40%.
At the same time, Hynix has indicated that a merger with Micron is its preferred option. The news follows the break-down of talks between Hynix and Infineon at the beginning of the month. However, Infineon has insisted that the talks were focused solely on a possible co-operation agreement between the two groups, rather than an outright acquisition.
Troubled Hynix has been looking for a rescuer for a number of months. It required four bail-outs from creditors during 2001 and analysts suggest that it will also need a further infusion of working capital this year to stay afloat.
In addition to Micron and Infineon, Hynix was also reported to have been in informal talks with its South Korean rival Samsung Electronics, currently the world's biggest memory chip manufacturer. However, Samsung has denied being interested in acquiring Hynix.
Micron's initial bid for Hynix of $3.1 billion (€3.57bn) was flatly rejected by Hynix creditors, who were holding out for $4 billion (€4.6bn).
