China’s MOFCOM trade regulator has said it’s OK for Western Digital to buy SanDisk.
WD wants to buy SanDisk and its flash foundry chips-to-SSDs business for around $16bn. The MOFCOM approval completes the worldwide regulatory body approvals process and the deal is expected to close on May 12. WD and SanDisk shareholders have already voted in favour of the deal. It will create the second, but also the largest, vertically integrated, disk and flash business. Toshiba got there first but its accounting scandal threatens to cause a sell-off of its disk drive business. WD+SanDisk will have far more flash-based revenues than Seagate, and be on the same stage as Intel/Micron, Samsung and SK Hynix as a flash chip and product supplier. ®