According to the latest report, an anonymous analyst revealed that SK Hynix’s $9 billion acquisition of Intel’s flash memory business plan is progressing well and is expected to be approved by relevant Chinese authorities in the near future.
Due to the huge amount of this acquisition, many countries are required to conduct antitrust investigations, and it has been successfully approved by the US, South Korean, and British authorities before.
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Moreover, the acquisition is expected to be approved by China in December at the earliest. The 9 billion US dollars of funds will be delivered to Intel in batches. Initially, 7 billion US dollars will be paid. By March 2025, SK Hynix will pay the remaining 2 billion US dollars. In addition, the relevant intellectual property rights will not be completed until 2025.
As for why Intel wants to sell its flash memory business, the company said it will raise funds to advance projects with long-term growth potential in the future, including artificial intelligence, 5G network communications, edge computing, etc.
Furthermore, it also stated that AMD’s plan to acquire Xilinx also requires antitrust review and approval by the Chinese government. However, the progress of this transaction is unknown, and it is not expected to be as smooth as Intel and SK Hynix.
