Boise-based Micron Technology won the right to negotiate exclusively to buy Elpida Memory, a Japanese chipmaker, according to Reuters. Micon offered more than 200 billion yen ($2.5 billion) for Elpida. If successful with the takeover, Reuters reported that Micron could "more than double its global market share."
Currently, Samsun Electronics is the world's biggest maker of memory chips used in personal computers, but by acquiring Elpida, Micron could boost its share to 25 percent, surpassing South Korea's SK Hynix, and becoming the second-biggest player in the memory chip marketplace.
Elpida, which specializes in chips for smartphones and tablets, filed for bankruptcy protection in February, reporting 448 billion yet in liabilities. Part of Micron's offer could be used to repay Elpida's debts and part would be invested in the chipmaker's operations.
As of March 1, Micron had reported $2.1 billion in cash and short-term investments, while long-term debt totaled $2.2 billion.