On Friday, flash media maker Lexar Media (LEXR) received a better revised takeover bid from Micron Technology (MU). The revised bid destinations the all-inventory Trade supply at about $10 a share, up marginally within the Preliminary bid.
But big shareholders such as billionaire Trader Carl Icahn as well as http://query.nytimes.com/search/sitesearch/?action=click&contentCollection®ion=TopBar&WT.nav=searchWidget&module=SearchSubmit&pgtype=Homepage#/소액결제 hedge cash and portfolio managers have deemed the First bid to be inappropriate. Elliott Associates thinks the Original bid “considerably undervalues Lexar,” and feels Lexar is really worth among $one.5 billion and $two.4 billion. The estimate is nicely earlier mentioned the revised takeover bid of about $827 million.
I need to concur and say the revised takeover bid is way way too low and really should be rejected by shareholders. Micron desires to fork out all around one.10x gross sales for Lexar whilst the market leader SanDisk (SNDK) is investing at four.35x income. Lexar also provides a $400 million patent infringement lawsuit versus Toshiba that it had Earlier won but is now issue to an attraction by Toshiba.
Think about it this fashion, a successful $four hundred million settlement in favor of Lexar would equate to close to $four.83 per share in extra dollars to add to the current $0.fifty four in totally free funds following financial debt that Lexar has. This suggests Micron would spend below $five a share for Lexars belongings, which can be lower.
There's also speculation that SanDisk is significantly considering taking a run at acquiring Lexar. This might sound right because SanDisk would solidify its Management position.
In addition, SanDisk has an in depth Performing romantic 정보이용료 relationship with Toshiba, which could see SanDisk drop or reduce the settlement if it managed to acquire Lexar.
Stay tune. A Unique shareholder Conference to assessment the takeover bid has actually been moved to June 16. In my check out, the $ten bid undervalues Lexar. Query is will a white knight surface area?