Japanese DRAM maker Elpida Memory has formally selected major US chipmaker Micron Technology to sponsor its turnaround, reports the Nikkei. The decision was made at a meeting of executives, including Elpida president Yukio Sakamoto, who also serves as one of the company's administrators. The administrators will likely report the decision to the Tokyo District Court later on 7 May, the paper's sources said. Micron will acquire Elpida for over JPY 200 billion and make it a wholly owned subsidiary. Including the takeover costs and future capital investment, Micron's total financial support for Elpida is expected to reach nearly JPY 300 billion. As a Micron group firm, Elpida will focus on developing and producing DRAM chips for mobile devices. If the Tokyo District Court approves Micron's sponsorship, the companies will begin working out the details of a turnaround plan, which they aim to submit to the court by 21 August.
