European Commission approves acquisition of Intel’s nand memory division by SK hynix

The European Commission has approved the acquisition of Intel’s nand memory division by SK hynix. This brings the takeover, which both companies announced in October last year, one step closer.

The European Commission does not impose any conditions, according to the website of the Commission. That is because Europe does not expect any problems from the takeover. This is due to the limited overlap between the markets of both companies. The European Commission also saw no reason to think that the acquisition of both companies would have negative consequences for competitors.

The approval follows that of US authorities and brings the actual takeover one step closer. Authorities in South Korea have yet to approve the takeover. Both companies announced the planned acquisition in October last year. The acquisition includes Intel’s entire SSD business, including intellectual property and personnel, the nand parts division and the wafer division.

The acquisition is valued at $ 9 billion. SK hynix will then first pay Intel $ 7 billion, thereby acquiring the SSD division and the Chinese Dalian nand memory production facility. In March 2025, SK hynix will then pay the remaining $ 2 billion for intellectual property related to the production and design of nandflash wafers and for the transition of the workforce. SK hynix would become the second largest producer of nand memory after Samsung.