Micron will acquire a semiconductor production facility in Taiwan for more than 2 trillion won. The business expansion is aimed at responding to rising global demand for memory chips.
U.S. semiconductor corporations Micron said on the 19th (local time) that it recently signed a letter of intent to acquire the "P5 plant" (P5 fab) of Taiwanese chipmaker PSMC in Miaoli County for $1.8 billion (about 2.65 trillion won) in cash. The production facility Micron is acquiring includes a 300 mm fab cleanroom measuring 300,000 square feet (about 27,871 square meters). The company said it "will further cement its position to respond to increasing global memory demand."
Micron said the transaction is expected to close in the second quarter of this year after regulatory approval, and after closing it plans to gradually build out DRAM production facilities on the site and ramp up output. Micron expects DRAM production to increase materially from the second half of 2027. Manish Bhatia, Micron's head of global operations (executive vice president), said, "In a market where demand continues to outstrip supply, we will be able to increase output and serve customers better," noting that the facility is adjacent to Micron's existing sites, enabling synergies.
On the New York stock market that day, Micron shares closed at $362.75, up 7.76% from the previous session. Micron's stock has risen more than 15% so far this year.