Reuters alone with Elpida capital raising plans, shares dive 15 pct

Shares in Japans Elpida Memory Inc fell as much as 15 percent on July 11 after Reuters exclusively reported the worlds No.3 maker of DRAM chips was going to raise 80 billion yen through the issue of shares and convertible bonds. Sources told Reuters the company to use the money to invest in the production and development of memory chips for smartphones, tablet PCs and other devices. The news came after the company said in May it planned to cut capital spending this year by one-third to 80 billion yen. Rivals including the Nikkei and Dow Jones quickly picked up the Reuters report as the tanking shares wiped off some $360 million in Elpida`s market value.