Hynix to buy stake in Taiwan's Phison, supply chips

SEOUL, June 20 (Reuters) - Hynix Semiconductor Inc (000660.KS), the world's No. 2 memory chip maker, said on Friday it would buy a 2 percent stake in Taiwan-based chip design house Phison Electronics Corp (8299.TWO).

Hynix said in a filing with the Korea Exchange it would spend T$346.5 million ($11.4 million) for the stake under an alliance deal aimed at technology cooperation and joint product development.

Under the agreement, the South Korean chip maker will also supply Phison with NAND flash memory chips until the end of 2009 and receive an initial payment of $26.4 million. ($1=30.37 Taiwan Dollar) (Reporting by Rhee So-eui; Editing by Braden Reddall)