The chief of U.S. chipmaker Micron Technology Inc. said Thursday that he is confident about the plan to rebuild bankrupt Elpida Memory Inc.
Elpida will enhance its productivity and competitiveness after becoming part of the Micron group, Chief Executive Officer Mark Durcan said.
Elpida’s mainstay plant in Hiroshima Prefecture is likely to serve as one of Micron’s major facilities to develop and make dynamic random access memory chips that are used in such products as smartphones, he said.
“It may play a lead role for DRAM development in the future,” Durcan said, citing advanced manufacturing technology and skilled engineers at the Hiroshima plant.
After filing for court protection from creditors last February, Elpida selected Micron as its rehabilitation sponsor. Under their agreement, the U.S. company will acquire the entire stake in the only Japanese maker of DRAM chips.
Though a group of Elpida bondholders has voiced objection to Micron’s plan to buy the company, Durcan was confident that a majority of creditors will vote for the plan by Feb. 26 to pave the way for court approval.
Durcan said he anticipates Elpida workers will stay with Micron. “That is important to us, that we maintain a stable and productive workforce,” he said.