LFoundry, an analog mixed signal and specialized technologies foundry, today announced that it has entered into an agreement with Micron Technology, Inc. (NASDAQ: MU) to acquire Micron Technology Italia, Srl. and all of its semiconductor fabrication facility assets in Avezzano, Italy. Micron’s Fab in Italy is expected to become a strategic part of LFoundry’s global growth.

After this acquisition, LFoundry will employ approximately 2,400 people worldwide and will have a wafer start capacity of 65,000 200mm wafers per month, which will allow LFoundry to expand its market presence as the leading analog mixed signal foundry in Europe.

“Operating out of two most advanced European 200mm Fabs, supporting 90nm, a volume copper path and state of the art technology perfectly positions LFoundry to provide flexible and high quality technology and manufacturing services,” said Günther Ernst, CEO of LFoundry. “Combined with our greatly expanded R&D and engineering teams, our customers will have access to a strong partner for specialized technologies and collaborative development, ensuring smooth industrialization from lab to fab, either based on LFoundry’s CMOS or on proprietary technologies.”

Ernst added that the combination of the manufacturing capacity and the technology capabilities of Micron’s Fab in Avezzano with LFoundry’s existing Fab in Rousset, France, is consistent with their development vision for the company.

“We have successfully attained a strategic position in several value added markets in Europe, such as digital security, imaging and power management,” said Ernst. “With the new Fab in Avezzano, we will surpass an important threshold, enabling us to accelerate further growth of our business outside of Europe.”

Ernst believes that this move will allow the company to begin to gain a foothold in U.S. and APAC markets.