On Friday, flash media maker Lexar Media (LEXR) obtained a greater revised takeover bid from Micron Engineering (MU). The revised bid spots the all-stock exchange provide at all-around $10 a share, up marginally from your initial bid.
But big shareholders which includes billionaire investor Carl Icahn along with hedge funds and portfolio professionals have deemed the Preliminary bid to become inappropriate. Elliott Associates thinks the initial bid “noticeably undervalues Lexar,” and feels Lexar is well worth among $one.five billion and $2.4 billion. The estimate is perfectly previously mentioned the revised takeover bid of about $827 million.
I have to concur and say the revised takeover bid is http://www.bbc.co.uk/search?q=소액결제 way too lower and needs to be turned down by shareholders. Micron desires to shell out all over 1.10x profits for Lexar whilst the market chief SanDisk 소액결제 (SNDK) is buying and selling at four.35x gross sales. Lexar also contains a $four hundred million patent infringement lawsuit from Toshiba that it had previously won but is now subject to an appeal by Toshiba.
Give it some thought this fashion, a successful $400 million settlement in favor of Lexar would equate to about $4.eighty three for each share in more funds to include to The existing $0.54 in cost-free hard cash immediately after financial debt that Lexar has. This implies Micron would shell out below $5 a share for Lexars assets, which happens to be small.
You can find also speculation that SanDisk is very seriously thinking of getting a run at getting Lexar. This could seem sensible given that SanDisk would solidify its leadership position.
Furthermore, SanDisk has an in depth Functioning romance with Toshiba, which could see SanDisk fall or decrease the settlement if it managed to amass Lexar.
Continue to be tune. A Distinctive shareholder Conference to review the takeover bid is moved to June 16. In my perspective, the $ten bid undervalues Lexar. Concern is will a white knight area?