Japan banks set to commit $12.7 billion financing for Kioxia-WDC merger

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Japan banks set to commit $12.7 billion financing for Kioxia-WDC merger
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TOKYO : Japan's top banks are set to commit to 1.9 trillion yen ($12.7 billion) financing to support the merger of Kioxia Holdings and Western Digital's flash memory business, four people familiar with the matter told Reuters.

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The financing support would move a step closer to closing the deal that would create one of the world's biggest memory chipmakers, but it is almost certain for the transaction to face heavy anti-trust scrutiny, particularly from China.

However, concerns about China or the position of SK Hynix, the world's No.3 maker of NAND flash memory chips, are not impacting the banks' decisions to finance the deal, the first four sources said. The finalised deal would likely see Western Digital a majority owner of the combined company, the sources said.

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