(Reuters) - Toshiba Corp (6502.T) has decided to join the bidding race to sponsor Elpida Memory Inc’s 6665.T turnaround from bankruptcy, setting stage for a battle with U.S.-based Micron Technology (MU.O), the Nikkei business daily said.
Toshiba, which believes adding Elpida’s cell-phone-use DRAMs to its offerings is crucial for its survival in the chip industry, might seek financial assistance from the government-backed Enterprise Turnaround Initiative Corp of Japan, the newspaper said.
Elpida Memory, will soon stop accepting applications for the first round of bidding, Nikkei said. After the second round at the end of April, a single sponsor will be selected in early May, the daily said.
Though other firms such as Intel Corp (INTC.O) may join the fray, Toshiba and Micron are likely to become leading contenders, the business daily said.
Reporting by Balaji Sridharan in Bangalore; Editing by Sreejiraj Eluvangal