Micron Technology Inc’s dogged persistence in staying in the dynamic memory chip business in the face of overwhelming obstacles is now paying off handsomely, and rather than follow its siblings and sign for supplies with a Japanese company, Intel Corp has gone to the small Boise, Idaho firm for an agreement under which it will sell Micron dynamics under the Intel name, starting with 256Ks. They will be offered via Intel’s distributor network from the third quarter. As part of the agreement, Micron has given Intel a warrant for a small stake, 600,000 shares, at a exercise price of $19.375 per share. Micron shares were trading at $19.75 ahead of the pact, which assures it of firm business in times of feast and famine, and will help finance its new plant (CI No 894).
Content from our partners
