On Friday, flash media maker Lexar Media (LEXR) obtained an increased revised takeover bid from Micron Technological know-how (MU). The revised bid places the all-stock exchange present at about $ten a share, up marginally from your First bid.
But significant shareholders together with billionaire Trader Carl Icahn coupled with hedge cash and portfolio administrators have considered the initial bid being inappropriate. Elliott Associates believes the Original bid “significantly undervalues Lexar,” and feels Lexar is truly worth in between $one.5 billion and $two.4 billion. The estimate is very well higher than the revised takeover bid of about $827 million.
I have to concur and say the revised takeover bid is way way too very low and should be turned down by shareholders. Micron wants to pay around 1.10x profits for Lexar when the industry leader SanDisk (SNDK) is trading at 4.35x profits. Lexar also has a $four hundred million patent infringement lawsuit against Toshiba that it had Formerly won but has become subject to an charm by Toshiba.
Consider it this way, A prosperous $400 million settlement in favor of Lexar would equate to all-around $4.eighty three for every share in further money to include to the current $0.54 in totally free income immediately after personal debt that Lexar has. This means Micron would pay back lower than $five a share for Lexars assets, and that is https://en.wikipedia.org/wiki/?search=소액결제 small.
You can find also speculation 신용카드현금화 that SanDisk is seriously serious about using a run at buying Lexar. This could seem sensible due to the fact SanDisk would solidify its leadership position.
Moreover, SanDisk has a close Doing work relationship with Toshiba, which could see SanDisk fall or lessen the settlement if it managed to obtain Lexar.
Keep tune. A Exclusive shareholder Assembly to overview the takeover bid has long been moved to June sixteen. In my look at, the $ten bid undervalues Lexar. Issue is will a white knight area?