On Friday, flash media maker Lexar Media (LEXR) received a greater revised takeover bid from Micron Technology (MU). The revised bid places the all-inventory Trade provide 소액결제정책 at close to $10 a share, up marginally from the Preliminary bid.
But significant shareholders like billionaire investor Carl Icahn in conjunction with hedge cash and portfolio managers have deemed the initial bid to generally be inappropriate. Elliott Associates believes the Original bid “noticeably undervalues Lexar,” and feels Lexar is worth involving $one.5 billion and $two.four billion. The estimate is properly earlier mentioned the revised takeover bid of about $827 million.
I must concur and say the revised takeover bid is way far too low and ought to be turned down by shareholders. Micron desires to pay back about 1.10x income for Lexar whilst the marketplace chief SanDisk (SNDK) is investing at 4.35x product sales. Lexar also has a $400 million patent infringement lawsuit against Toshiba that it experienced Earlier won but has become subject to an attraction by Toshiba.
Consider it this way, a successful $four hundred million settlement in favor of Lexar would equate to close to $4.eighty three for each share in further money to incorporate to The present $0.fifty four in totally free income after debt that Lexar has. What this means is Micron would spend fewer than $5 a share for Lexars assets, which is minimal.
There's also speculation that SanDisk is seriously considering getting a operate at acquiring Lexar. This would seem sensible since SanDisk would solidify its leadership position.
Moreover, SanDisk has an in depth Functioning relationship with Toshiba, which could see SanDisk drop or decrease the settlement if it managed to obtain Lexar.
Remain tune. A Exclusive shareholder Conference to review the takeover bid is moved to June 16. In my http://edition.cnn.com/search/?text=소액결제 watch, the $ten bid undervalues Lexar. Problem is will a white knight surface area?