On Friday, flash media maker Lexar Media (LEXR) gained a better revised takeover bid from Micron Technological know-how (MU). The revised bid sites the all-inventory Trade give at all around $ten a share, up marginally with the Original bid.
But main shareholders which include billionaire Trader Carl Icahn together with hedge funds and portfolio administrators have deemed the Original bid for being inappropriate. Elliott Associates thinks the First bid “substantially undervalues Lexar,” and feels Lexar is worthy of between $one.five billion and $two.four billion. The estimate is nicely earlier mentioned the revised takeover bid of about $827 million.
I have to concur and say the revised takeover bid is way much too lower and has to be rejected by shareholders. Micron hopes to shell out all over one.10x product sales for Lexar when the market chief SanDisk (SNDK) is investing at four.35x product sales. Lexar also incorporates a $400 million patent infringement lawsuit from Toshiba that it had Formerly received but is now topic to an appeal by Toshiba.
Think about it by doing http://edition.cnn.com/search/?text=소액결제 this, A prosperous $four hundred million settlement in favor of Lexar would equate to all over $four.eighty three for each share in additional income to incorporate to the current $0.54 in free cash right after credit card debt that Lexar has. This implies Micron would pay back fewer than $5 a share for Lexars belongings, which is lower.
There's also speculation that SanDisk is critically pondering using a run at obtaining Lexar. This may seem sensible given that SanDisk would solidify its leadership position.
Also, SanDisk has an in depth Performing marriage with Toshiba, which could see SanDisk drop or reduce the settlement if it managed to amass 소액결제정책 Lexar.
Remain tune. A Particular shareholder meeting to evaluation the takeover bid is moved to June 16. In my check out, the $ten bid undervalues Lexar. Problem is will a white knight floor?