BOISE, Idaho (AP) ― Memory-chip maker Micron Technology Inc. has agreed to buy Elpida Memory Inc. for approximately $750 million in cash in a deal that would boost its wafer manufacturing capacity by about 50 percent.

Elpida specializes in dynamic random access memory chips used in mobile phones and computers. It has been developing a plan of reorganization since filing for the largest manufacturing bankruptcy ever in Japan earlier this year.

Elpida wanted to reorganize after years of sliding chip prices amid a glut of supply, punishing competition from South Korea’s Samsung Electronics Co. and weaker sales due to last year’s flooding in Thailand that disrupted production.

Micron and Elpida said Monday that the total value of their deal is about $2.5 billion including about $1.75 billion in future annual installment payments that Micron would make through 2019.

Micron Technology shares rose 29 cents, or 4.6 percent, to $6.60 in premarket trading.