On Friday, flash media maker Lexar Media (LEXR) obtained an increased revised takeover bid from Micron Technologies (MU). The revised bid destinations the all-stock exchange offer at all around $10 a share, up marginally from the First bid.
But major shareholders like billionaire investor Carl Icahn coupled with hedge money and portfolio administrators have deemed the initial bid being inappropriate. Elliott Associates believes the initial bid 소액결제현금화 “considerably undervalues Lexar,” and feels Lexar is worth amongst $one.5 billion and $2.four billion. The estimate is well above the revised takeover bid of about $827 million.
I have to concur and say the revised takeover bid is way much too minimal and should be turned down by shareholders. Micron desires to spend all over one.10x product sales for Lexar although the marketplace leader SanDisk (SNDK) is investing at four.35x sales. Lexar also provides a $400 million patent infringement lawsuit from Toshiba that it had previously gained but is currently topic to an appeal by Toshiba.
Give it some thought this way, a successful $four hundred million settlement in favor of Lexar would equate to all around $four.eighty three per share in additional income http://www.bbc.co.uk/search?q=소액결제 to add to the current $0.fifty four in no cost cash immediately after credit card debt that Lexar has. This implies Micron would pay out less than $five a share for Lexars assets, that is lower.
There exists also speculation that SanDisk is severely thinking about having a operate at acquiring Lexar. This is able to sound right because SanDisk would solidify its leadership placement.
Furthermore, SanDisk has a close working relationship with Toshiba, which could see SanDisk fall or decrease the settlement if it managed to accumulate Lexar.
Stay tune. A Particular shareholder Conference to critique the takeover bid has been moved to June 16. In my watch, the $ten bid undervalues Lexar. Issue is will a white knight area?