Shares of Micron Technology (NASDAQ:$MU) dropped almost 3% in late trading Tuesday after the company announced that it would sell roughly $1 billion in fresh stock as the memory-chip company trades at its highest prices since the dot-com boom.
According to Micron, underwriters had access to roughly $150 million in additional shares it could offer at the public offering price, which has yet to be finalized.
The Boise, Idaho-based company will use the proceeds from the offering to pay down debt, with $476 million earmarked for notes set to mature in 6 years.
Micron Technology closed the day at $41.98 and hit $42 in intraday trading Tuesday, which is its highest prices since 2001. However, shares dropped lower than $41 in late trading after the announcement.
The memory-chip company has profited from an increase in the price of memory chips, which has increased the cost of tech gadgets for consumers. They also said in its most recent earnings report that it forecasts demand to continue to be high.
Featured Image: twitter
