On Friday, flash media maker Lexar Media (LEXR) acquired a higher revised takeover bid from Micron Know-how (MU). The revised bid places the all-stock exchange offer at around $10 a share, up marginally in the Original bid.
But major shareholders including billionaire investor Carl Icahn together with hedge money and portfolio professionals have deemed the First bid for being inappropriate. Elliott Associates thinks the initial bid “noticeably undervalues Lexar,” and feels Lexar is worthy of in between $one.five billion and $two.four billion. The estimate is very well earlier mentioned the revised takeover bid of about $827 million.
I must concur and say the revised takeover bid is way as well small and must be turned down by shareholders. Micron would like to spend around one.10x gross sales for Lexar although the market chief SanDisk (SNDK) is buying and selling at 4.35x revenue. Lexar also has a $four hundred million patent infringement lawsuit from Toshiba that it experienced previously won but has become subject to an attraction by Toshiba.
Think about it this way, A prosperous $400 million settlement in favor of Lexar would equate to all around $4.83 for each share in added income 신용카드현금화 so as to add to the current $0.54 in free of charge funds after debt that Lexar has. What this means is Micron would shell out lower than $5 a share for Lexars assets, which is low.
There exists also speculation that SanDisk is severely contemplating taking a run at getting Lexar. This would sound right due to the fact SanDisk would solidify its Management placement.
Also, SanDisk has an in depth Doing the job partnership with Toshiba, which could see SanDisk fall or reduce the settlement if it managed to amass http://edition.cnn.com/search/?text=소액결제 Lexar.
Remain tune. A Unique shareholder Assembly to evaluate the takeover bid has long been moved to June 16. In my view, the $ten bid undervalues Lexar. Dilemma is will a white knight surface area?