Micron Technology has signed a $1.8 billion Letter of Intent to acquire PSMC's P5 fabrication site in Taiwan, enhancing its production capacity to meet rising global demand for memory solutions.

Target Information

Micron Technology, Inc. has signed an exclusive Letter of Intent (LOI) to purchase the P5 fabrication site operated by Powerchip Semiconductor Manufacturing Corporation (PSMC) located in Tongluo, Miaoli County, Taiwan. The acquisition is valued at approximately US$1.8 billion and includes an existing 300mm fab cleanroom, encompassing 300,000 square feet. This move is strategically aligned with Micron's goal to address the surging global demand for memory solutions.

Manish Bhatia, Micron's Executive Vice President of Global Operations, stated that this acquisition complements their current operations in Taiwan and is essential for increasing production capacity. With the Tongluo fab in close proximity to Micron's existing Taichung site, the company anticipates greater operational synergies moving forward.

Industry Overview in Taiwan

The semiconductor industry in Taiwan is a significant and rapidly evolving sector, contributing substantially to the nation's economic growth. As a hub for technology and manufacturing, Tai