(RTTNews) - South Korea's SK Hynix said that it agreed to buy Intel corp.'s (INTC) NAND memory and storage business for US$9 billion.
The deal includes the NAND SSD business, the NAND component and wafer business, and the Dalian NAND memory manufacturing facility in China. Intel will retain its distinct Intel OptaneTM business.
The companies expects to obtain required governmental approvals in late 2021, SK Hynix said in a statement.
SK hynix said it will acquire the NAND SSD business, which include NAND SSD-associated IP and employees, as well as the Dalian facility, with the first payment of US$7 billion.
SK hynix will acquire from Intel the remaining assets, including IP related to the manufacture and design of NAND flash wafers, R&D employees, and the Dalian fab workforce, upon a final closing, expected to occur in March 2025 with the remaining payment of US$2 billion.
As per the deal, Intel will continue to manufacture NAND wafers at the Dalian Memory Manufacturing Facility and retain all IP related to the manufacture and design of NAND flash wafers until the final closing.
Intel plans to invest transaction proceeds to deliver leadership products and advance its long-term growth priorities, including artificial intelligence, 5G networking and the intelligent, autonomous edge.
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