On Friday, flash media maker Lexar Media 정보이용료 (LEXR) acquired a better revised takeover bid from Micron Technologies (MU). The revised bid sites the all-inventory Trade supply at all over $10 a share, up marginally in the First bid.
But important shareholders which includes billionaire Trader Carl Icahn together with hedge cash and portfolio managers have considered the initial bid being inappropriate. Elliott Associates believes the Original bid “drastically undervalues Lexar,” and feels Lexar is worth between $one.five billion and $2.four billion. The estimate is effectively above the revised takeover bid of about $827 million.
I need to concur and say the revised takeover bid is way much too reduced and really should be rejected by shareholders. Micron hopes to pay out all over 1.10x income for Lexar when the industry chief SanDisk (SNDK) is trading at four.35x revenue. Lexar also has a $four hundred million patent infringement lawsuit from Toshiba that it experienced Earlier received but is currently subject to an attractiveness by Toshiba.
Think about it this way, A prosperous $400 million settlement in favor of Lexar would equate to all over $4.eighty three for every share in additional cash so as to add to the current $0.fifty four in free dollars immediately after financial debt that Lexar has. This means Micron would pay under $five a share for Lexars belongings, and that is lower.
There's also speculation that SanDisk is very seriously considering using a run at getting Lexar. This is able to sound right because SanDisk would solidify its leadership position.
Also, SanDisk has an in depth Functioning connection with Toshiba, which https://www.washingtonpost.com/newssearch/?query=소액결제 could see SanDisk drop or lessen the settlement if it managed to acquire Lexar.
Keep tune. A Unique shareholder Assembly to review the takeover bid continues to be moved to June sixteen. In my watch, the $10 bid undervalues Lexar. Query is will a white knight floor?