On Friday, flash media maker Lexar Media (LEXR) gained a better revised takeover bid from Micron Know-how (MU). The revised bid sites the all-stock Trade offer at all over $ten a share, up marginally from the Preliminary bid.
But big shareholders which includes billionaire Trader Carl Icahn in conjunction with hedge funds and portfolio professionals have considered the First bid to get inappropriate. Elliott Associates believes the Original bid “noticeably undervalues Lexar,” and feels Lexar is well worth involving $1.5 billion and $2.4 billion. The estimate is well earlier mentioned the revised takeover bid of about $827 million.
I must concur and say the revised takeover bid is way much too minimal and must be turned down by shareholders. Micron would like to shell out all around 1.10x revenue for Lexar when the marketplace chief SanDisk (SNDK) is buying and selling at 4.35x sales. Lexar also incorporates a $400 million patent infringement lawsuit from Toshiba that it had Formerly gained but is currently issue to an attractiveness by Toshiba.
Give it some thought by doing this, a successful $400 million settlement in favor of Lexar would equate to all over $four.83 for every share in added cash so as to add to the current $0.fifty four in free funds immediately after debt that Lexar has. This implies Micron would pay out below https://en.wikipedia.org/wiki/?search=소액결제 $five a share for Lexars assets, which is reduced.
You can find also speculation that SanDisk is significantly thinking about 정보이용료 having a operate at acquiring Lexar. This is able to make sense given that SanDisk would solidify its leadership position.
In addition, SanDisk has an in depth Operating connection with Toshiba, which could see SanDisk fall or decrease the settlement if it managed to amass Lexar.
Remain tune. A Particular shareholder Assembly to review the takeover bid has long been moved to June 16. In my see, the $ten bid undervalues Lexar. Query is will a white knight surface?