On Friday, flash media maker Lexar Media (LEXR) been given the next revised takeover bid 소액결제현금화 from Micron Technological innovation (MU). The revised bid places the all-inventory Trade present at close to $10 a share, up marginally from the Original bid.
But key shareholders which include billionaire Trader Carl Icahn along with hedge resources and portfolio administrators have considered the Original bid to become inappropriate. Elliott Associates believes the First bid “appreciably undervalues Lexar,” and http://edition.cnn.com/search/?text=소액결제 feels Lexar is really worth amongst $one.five billion and $two.4 billion. The estimate is well higher than the revised takeover bid of about $827 million.
I must concur and say the revised takeover bid is way far too reduced and should be turned down by shareholders. Micron wishes to pay all-around 1.10x product sales for Lexar when the marketplace leader SanDisk (SNDK) is buying and selling at four.35x income. Lexar also provides a $four hundred million patent infringement lawsuit versus Toshiba that it experienced Earlier gained but is now topic to an attraction by Toshiba.
Think about it in this way, An effective $four hundred million settlement in favor of Lexar would equate to all-around $4.83 per share in additional dollars so as to add to The present $0.54 in totally free income immediately after credit card debt that Lexar has. This suggests Micron would fork out a lot less than $five a share for Lexars property, that's small.
There is also speculation that SanDisk is critically thinking about taking a run at obtaining Lexar. This may sound right considering the fact that SanDisk would solidify its leadership situation.
What's more, SanDisk has an in depth working relationship with Toshiba, which could see SanDisk drop or decrease the settlement if it managed to amass Lexar.
Stay tune. A Distinctive shareholder Conference to review the takeover bid has become moved to June 16. In my check out, the $ten bid undervalues Lexar. Question is will a white knight floor?